2-11 Risk Factors in Business Quiz Business U

What is the formal proceeding in the court system that helps individuals and businesses eliminate their debts?

• Capitalism

• Bankruptcy

• Inflation

• Insurance

Which economic system involves privately-owned companies driven by a profit-motive?

• Socialism

• Capitalism

• Communism

• Feudalism

1. The risk of a negative outcome in one's career due to action or inaction, for example, loss of income and lack of certain types of experiences.

• Financial Risk

• Market Risk

• Career Risk

• Pure Risk

What is the risk that financial stakeholders will lose money?

• Career Risk

• Financial Risk

• Industry Risk

• Cyber Security

What is the chance that factors within an industry drag down its overall performance?

• Industry Risk

• Career Risk

• Financial Risk

• Cyber Security

What term describes the increase in the general level of prices in an economy?

• Deflation

• Inflation

• Stagnation

• Recession

What is a contractual agreement where the insurer collects a premium for future loss reimbursement?

• Bankruptcy

• Insurance

• Capitalism

• Interest Expense

What is the money spent to pay for borrowed money, calculated as the interest rate times the outstanding principal?

• Inflation

• Insurance

• Interest Expense

• Bankruptcy

Which of the following is an example of market risk?

• Earthquake

• Inflation

• Phishing

• Product defect

What is a natural disaster?

• A market risk

• A type of malware

• An event like a tornado or flood

• A financial projection