JC Business Studies Revision Third Years

The person who calculates the insurance premium is

• Accountant

• Broker

• Agent

• Actuary

The insurance principle which means you cannot make a profit from insurance is

(a)  

The extra amount added to an insurance premium to cover increased risk is called

(a)  

Use the figures to calculate Net Profit or Net Loss. Sales €100,000, Cost of Sales €40,000 and Expenses €30,000.

• €90,000

• €110,000

• €30,000

• (€30,000)

Payment made to an insured person if they suffer an insured loss.

(a)  

Buy now, pay later.

• Debit

• Credit

• Finance

• Savings

Tax on interest earned on savings.

• PAYE

• DIRT

• CAT

• COD

Ownership of an insured item passes to the insurance company once they have paid compensation for that item.

• Contribution

• Indemnity

• Subrogation

• Utmost good faith

Penny must choose between spending some of her savings on new furniture or taking her children away for a short holiday. Each option costs €1,500 and she does not have enough money to pay for both. Select the correct answer.

• Penny's financial cost is €3,000.

• The opportunity cost of paying for the furniture is €1,500.

• The opportunity cost of paying for the holiday is €1,500.

• The opportunity cost of the furniture is the holiday.

Ireland has a / an (a)   economy.