All categories

4 years ago

Why are speculative risks not insurable?

1 answer:

7 0

Only pure risks are insurable because they involve only the chance of loss. They are pure in the sense that they do not mix both profits and losses. ... Both speculative risk and pure risk involve the possibility of loss. However, speculative risk also involves the possibility of gain as well - even if there is no loss.

You might be interested in

in 1978, the texas constitution was amended (article 8, section 22), so that if the economy of the state shrinks,

BigorU [14]

In 1978, the texas constitution was amended (article 8, section 22), so that if the economy of the state shrinks, appropriations have to shrink as well.

<h3>what is texas constitution ?</h3>

The Texas Constitution is the fundamental governing document of Texas, describes the structure and function of the government, it consists of a preamble and 17 articles.

Article 1 represents Bill of Rights and consists of 34 sections.

Article 2 represents the Power of Government which provides for the separation of the powers of the government.

Article 3 represent the Legislative Department, include the legislative power of the state of Texas and consists of the Texas Senate and Texas House of Representatives.

Article 4 Executive Department and it consists of 26 sections which describes the powers and duties the officials of state's executive.

Article 5 Judicial Department consists of 32 sections, explains the composition, powers of the Texas Supreme Court, the Court of Criminal Appeals, Justice of the Peace Courts etc.

Article 6 Suffrage consists of five sections, defines classes of persons are not allowed to vote like minors, persons convicted of a felony etc.

Article 7 Education consists of 20 sections, provisions for public schools, asylums and universities.

Article 8 Taxation and Revenue which places various restrictions on the ability of the Legislature and local governments to impose taxes like local property taxes.

Learn more about texas constitution , here:

brainly.com/question/28189890

#SPJ4

4 0

2 years ago

A. Al Manara Company sells its single product for $ 30 per unit . The contribution margin ratio is 45%; and fixed costs are $ 10

Korolek [52]

Answer:

Al Manara Company sells its single product for $ 30 per unit. The contribution margin ratio is 45%; and fixed costs are $ 10,000 per month Required If Al

Explanation:

8 0

2 years ago

A bag contains 9 red marbles, 5 white marbles, and 6 blue marbles. You draw 4 marbles out at random, without replacement. Find t

IRINA_888 [86]

a) 0.0260

b) 0.0681

Explanation:

The bag contains:

r = 9 (number of red marbles)

w = 5 (number of white marbles)

b = 6 (number of blue marbles)

So, the total number of marbles in the bag at the beginning is:

$n=9+5+6=20$

At the 1st attempt, the probability of choosing a red marble is:

$p(r)=\frac{r}{n}=\frac{9}{20}$ (1)

At the 2nd attempt, the 1st red marble is not placed back, so now the number of marbles is (n-1), while the number of red marbles left is (r-1). So the probability of choosing another red marble at the 2nd attempt is

$p(r)=\frac{r-1}{n-1}=\frac{8}{19}$ (2)

With a similar argument, the probabilities of selecting a red marble in the 3rd and 4th attempt are

$p(r)=\frac{7}{18}$ (3)

$p(r)=\frac{6}{17}$ (4)

Therefore, the probability of drawing 4 red marbles in the first 4 attempts without replacing is:

$p(rrrr)=\frac{9}{20}\frac{8}{19}\frac{7}{18}\frac{6}{17}=\frac{3024}{116280}=0.0260$

At the 1st draw, the probability that the marble is not red is:

$p(r^c)=1-p(r)=1-\frac{9}{20}=\frac{11}{20}$

At the 2nd draw, there are 9 red marbles left and 19 total marble left. So, the probability of NOT drawing a red marble is:

$p(r^c)=1-\frac{9}{19}=\frac{10}{19}$

At the 3rd draw, there are 9 red marbles left and 18 total marbles left. So, the probability of NOT drawing a red marble is:

$p(r^c)=1-\frac{9}{18}=\frac{9}{18}$

Finally, with a similar argument the probability of NOT drawing a red marble at the 4th and last attempt is:

$p(r^c)=\frac{8}{17}$

So, the total probability of drawing 4 non-red marbles in the first 4 attempts is:

$p(r^cr^cr^cr^c)=\frac{11}{20}\frac{10}{19}\frac{9}{18}\frac{8}{17}=\frac{7920}{116,280}=0.0681$

6 0

3 years ago

One way to interpret the change in Blue Hamster's accounts receivable balance from Year 1 to Year 2 is that more customers purch

mash [69]

Answer:

The balance of account receivable for year 2 is increase from the balance of year 1.

Explanation:

The balance of account receivable for year 2 is increase from the balance of year 1. This means the thee are more credit sales and less receipts from the customers in year 2 as compared to Year 1. Credit sales increases the account receivable balance but it should be settlement in the form of receipts from the customers.

6 0

4 years ago

Congress enacts the Ad Restriction Act (ARA) to limit advertising in certain circumstances. The ARA will be considered valid il

Bond [772]

Answer:

A) and goes further than necessary to ensure full coverage

8 0

4 years ago