CS/BIRM/SEM-5/BIRM-501/2012-13
2012
BASICS OF RISK MANAGEMENT
Time Allotted : 3 Hours Full Marks : 70
The figures in the margin indicate full marks.
Candidates are required to give their answers in their own words
as far as practicable.
GROUP – A
( Multiple Choice Type Questions )
1. Choose the correct alternatives for any ten of the following :
10 × 1 = 10
i) Environmental risks are
a) insurable b) non-insurable
c) excluded d) none of these.
ii) Which one of the following is an example of peril ?
a) Occurrence of fire in a paper mill
b) Improper locking in a jewellery shop
c) Heavy rainfall during the rainy season
d) Smoking in a warehouse.
iii) Taylor Tobacco Company is concerned that the
company may be held liable in a court of law and forced
to pay a large damage award. The characteristics of the
judicial system that increase the frequency and severity
of losses is known as
a) Moral hazard b) Particular risk
c) Legal hazard d) Speculative risk.
iv) An effective risk management plan will need to address
which of the following issues ?