Which one of the following statements pertaining to risk is NOT correct?

Which one of the following statements pertaining to risk is NOT correct?




A) Only pure risks are insurable.

B) A stock market venture is an example of a pure risk.

C) Pure risk involves only the chance of loss; there is never a possibility of gain or profit.

D) Uncertainty regarding financial loss is the definition of risk; therefore, it is characteristic of both pure and speculative risks.



Answer: B

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