Entrepreneurship Chapter 12 Review

Risk assessment is taking action to prevent or reduce the possibility of loss to your business.

• True

• False

The type of risk caused by things such as storms, fires, and floods.

• natural

• economic

• human

• controllable

Type of risk including such things as political instability, competition, and inflation.

• human

• economic

• natural

• controllable

Represents the risk of loss, but no opportunity for gain.

• speculative risk

• pure risk

• controllable risk

• uncontrollable risk

Type of risk that offers you the chance to gain as well as lose from the event or activity.

• pure risk

• speculative risk

• controllabe risk

• uncontrollable risk

Shoplifting occurs in nearly every type of retail business, including online businesses.

• True

• False

The act of knowingly taking items from a business without paying.

• theft

• credit card fraud

• bounced check

• shoplifting

Which type of theft is every business at risk of having?

• robbery

• shoplifting

• credit card fraud

• bounced checks

Tthe purpose of a machine called an elecronic credit authorizer is to see if a customer's credit card is valid.

• True

• False

Which of the following is NOT a type of theft?

• shoplifting

• employee theft

• credit card fraud

• robbery

• all are types of theft