Business Studies, asked by amruthdoraemon12345, 4 months ago

ABC Ltd., insures its stock against fire for Rs.10 Lakhs. A fire broke down and the

total stock was lost. At the time of fire, there was stock worth Rs.15 Lakhs.
a)What is the value of compensation ABC Ltd., would be entitled to get from the Insurance company?

b)Name & explain the principle of insurance applicable in this case.

Answers

Answered by piyush2569

Answer:

The basic principle of insurance is that an entity will choose to spend small periodic amounts of money against a possibility of a huge unexpected loss. Basically, all the policyholder pool their risks together. Any loss that they suffer will be paid out of their premiums which they pay.

Answered by jyoti959808

Answer:

please follow me

hi nhi aata hai please follow me

Previous Question

Next Question

Similar questions

Computer Science, 2 months ago

Write a query to display rental id, car id, customer id and km driven of rentals taken during 'AUGUST 2019'. Sort the result based on rental id.

Business Studies, 2 months ago

Lawrence and Tyrell are partners in a small retail business. They sell hats and T-shirts from a kiosk in a shopping mall. Recently they have been thinking about selling other items as well, but they cannot agree on what items to add to their product line. Their disagree- ments have caused the business to suffer financially.

History, 2 months ago