Types of insurance risks - SS2 Commerce Past Questions and Answers - page 1

1

Which type of risk affects the overall market or economy as a whole?

 

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A

Partial risk

 

B

Fundamental risk

 

C

Systematic risk

 

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2

Which type of risk is unique to a particular investment or business?

 

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A

Systematic risk

 

B

Partial risk

 

C

Fundamental risk

 

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3

What can be used to minimize or eliminate partial risks?

 

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A

Market trends

 

B

Diversification

C

Political events

 

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4

Which type of risk can be reduced through proper risk management strategies?

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A

Partial risk

 

B

Fundamental risk

 

C

Unsystematic risk

 

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5

Which type of risk is beyond the control of individual investors or businesses?

 

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A

Fundamental risk

 

B

Partial risk

 

C

Unsystematic risk

 

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6

Give an example of a fundamental risk.

 

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7

How can partial risks be managed?

 

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