Chapter 12 Risk Management

6. involves looking at all aspects of your business and determining the risk you face
9. the possibility of some kind of loss
10. one that can be reduced or possibly even avoided by actions you take
11. presents the chance of loss but no opportunity for gain
12. the act of knowingly taking items from a business without paying
14. taking action to prevent or reduce the possibility of loss to your business
15. offers you the chance to gain as well as lose from the event or activity

1. a pure risk faced by a large number of people and the amount of the loss can be predicted
2. a check that the bank returns because the check writer's checking account has insufficient funds to cover the amount
3. the amount of one country's currency that can be traded for one unit of currency in another country
4. a law that provides benefits to employees who have suffered work-related injuries or occupational diseases
5. when a retail business allows its customers to buy merchandise now and pay for it later
7. when one business allows another business to buy now and pay later
8. a payment made to an insurance company to cover the cost of insurance
13. one on which actions have no effect