CPCU 500 EXAM BUNDLE 2023(Q&A)

Describe the 2 elements of risk - ANSWERS1.) Uncertainty of outcomes: risk involves uncertainty about the type of outcome, timing o outcome, or both 2.) possibility of a negative outcome: at least of the potential outcomes is negative Whats the difference between possibility and probability? -...

The risk of increased competetitio falls into the category of which quadrant of risk - ANSWERSStrategic Risk Failing to respond to changing customer demand and preferences in the design could drop the market share. Which quadrants of risk is this? - ANSWERSStrategic risk, arise from trends in the...

Autonomous Vehicle Applications (AVA) is a start-up company that develops safety technologies that can be sold to companies that are producing autonomous vehicles. One technology AVA is developing allows an autonomous vehicle to detect, extract, and analyze images; and then to respond to the images....

Risk involves The possibility of a negative outcome. Possibility means - ANSWERSThat an outcome may or may not occur. Probabilities are stated as decimal figure, a percentage, or a - ANSWERSFraction To understand risk, one needs to know the probability of an outcome or event occurring. Which o...

Which one of the following statements about the use of drones is true? - ANSWERSDrones may be equipped with cameras that relay data in real-time Which one of the following uses infrared light to detect nearby objects? - ANSWERSLidar AMRM Insurance Company sells insurance in Virginia, North Car...

Risk - ANSWERSthe uncertainty about outcomes, with the possibility that some of the outcomes can be negative. Quantified by knowing the probability of the possible outcomes Probability - ANSWERSthe likelihood that an outcome or event will occur. Probabilities are stated as a decimal figure, a per...

CHAPTER 1 - ANSWERS... What are the two elements of risk? - ANSWERS-Uncertainty of outcome - Time of the outcome and type of outcome are uncertain -possibility of a negative outcome - at least 1 outcome is negative What is the difference between probability and possibility? - ANSWERSPossibili...

Risk involves the possibility of a negative outcome. Possibility means - ANSWERSThat an outcome may or may not occur. Risk can be classified as subjective or objective. Which one of the following statements is correct with respect to these risk classifications? - ANSWERSSubjective risk can exist ...

Which one of the following technologies can provide the infrastructure upon which smart contracts are built and implemented? Select one: A. Wearables B. Telematics C. Blockchain D. Machine learning - ANSWERSC. Blockchain Leasing is a useful noninsurance risk control transfer because Sel...

Which one of the following statements is correct regarding the challenges of delivering messages to internal and external stakeholders? Select one: A. When you suspect a person's comments are the result of a hidden agenda, it is best to leave them unaddressed. B. When addressing individuals ...

For public entities such as cities, counties and public utilities, which one of the following is normally the most important post-loss risk management goal? Choose one answer. A. Growth B. Profitability C. Continuity of operations D. Earnings stability - ANSWERSC. Continuity of operati...

Which one of the following statements is true regarding the nature of probability? A. Probabilities deduced solely from historical data may change as new data are discovered or the environment changes. B. The type of probability most commonly used by risk management professionals is theoretical ...