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The possibilities of inadequate profits or even losses due to uncertainties are known as ____________
- a)Business risks
- b)Business contingencies
- c)Business ventures
- d)None of these
Correct answer is option 'A'. Can you explain this answer?
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Most Upvoted Answer
The possibilities of inadequate profits or even losses due to uncertai...
Business risks are the unexpected changes that occur without the knowledge of business man which can cause profit or even losses to the firm.
for eg: change in trend
for eg: change in trend
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Community Answer
The possibilities of inadequate profits or even losses due to uncertai...
The correct answer is A: Business risks.
Explanation:
Business risks refer to the possibilities of inadequate profits or even losses due to uncertainties. These uncertainties can arise from various factors such as changes in market conditions, economic downturns, competition, technological advancements, regulatory changes, and natural disasters. It is important for businesses to identify and assess these risks to develop effective risk management strategies.
Here is a detailed explanation of each option:
A: Business risks:
- Business risks are uncertainties that can lead to inadequate profits or losses.
- These risks are inherent in any business operation and can arise from various factors.
- Managing and mitigating these risks is crucial for the success and sustainability of a business.
B: Business contingencies:
- Business contingencies refer to backup plans or alternative strategies that businesses can implement in response to unforeseen events or emergencies.
- While contingencies can help mitigate the impact of risks, they are not the same as risks themselves.
C: Business ventures:
- Business ventures refer to new business projects or initiatives undertaken by individuals or organizations.
- While ventures involve risks, the term itself does not encompass the broader concept of risks and uncertainties.
D: None of these:
- This option is incorrect as business risks are indeed the possibilities of inadequate profits or losses due to uncertainties.
To summarize, the possibilities of inadequate profits or even losses due to uncertainties are known as business risks. It is important for businesses to proactively identify, assess, and manage these risks to ensure their long-term success.
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The possibilities of inadequate profits or even losses due to uncertainties are known as ____________a)Business risksb)Business contingenciesc)Business venturesd)None of theseCorrect answer is option 'A'. Can you explain this answer?
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