Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Basic Finance Expert

Avoidance is a risk-control technique that can be used effectively in a risk management program.
a. What is the major advantage of using the technique of avoidance in a risk management program? b. Is it possible or practical for a firm to avoid all potential losses? Explain your answer.

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M91772463

Have any Question?


Related Questions in Basic Finance

Tom decides to open a small italian wine store in an

Tom decides to open a small Italian wine store in an affluent South Florida neighborhood. He will be an absentee owner and has hired Vinnie as the store manager. He has agreed to pay Vinnie a fixed salary of $75,000 per ...

A plaintiff is suing the city for injuries sustained after

A plaintiff is suing the city for injuries sustained after a freak street sweeper accident. In the trial, doctors testified that it will be five years before the plaintiff is able to return to work. The jury has already ...

How much would you pay for a share of preferred stock that

How much would you pay for a share of preferred stock that pays a $3.25 dividend and your required return for an investment of this kind is 7%?

An investor has 5000 invested in a stock which has an

An investor has $5,000 invested in a stock which has an estimated beta of 1.2, and another $15,000 invested in the stock of the company for which she works. The risk-free rate is 6 percent and the market risk premium is ...

What are the main reasons for dji competitiveness in the

What are the main reasons for DJI competitiveness in the Drone Market? What are the main differences in the customers needs and values in the customer retail and Commercial professional drone market?

Rippards has a debt ratio of 15 a total asset turnover

Rippard's has a debt ratio of 15%, a total asset turnover ratio of 3.0 and a return on equity (ROE) of 48%. Compute Rippard's net profit margin.

A stock price is currently 20 and at the end of 3 months it

A stock price is currently $20, and at the end of 3 months it will increase or decrease by 10%. The risk free rate is 5% per year (continuous compounding). Assume that ST is the price at the end of 3 months. what is the ...

A new piece of equipment is purchased for 15000 the

A new piece of equipment is purchased for $15,000. The expected lifetime of the asset is five years. Which depreciation method depreciates exactly 3,000 each year? It would be Straight-line, Modified Accelerated Cost Rec ...

You are a new financial analyst for acme bank and funeral

You are a new financial analyst for Acme Bank and Funeral Directors (they decided to diversify). Anyway you are looking at the following for a company you are considering for a loan. Sales = $650,000, their operating pro ...

Praful co ltd purchased the business on 142010 the company

Praful Co. Ltd., purchased the business on 1.4.2010. The company obtained the certificate of commencement on 31.7.2010. The following details are available as on 31.3.2011. a) Total sales up to 31.3.2011 Rs.15, 00,000. O ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As