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Each Line of Business Has Its Own Break-Even Point Because

Question 32

Multiple Choice

Each line of business has its own break-even point because:


A) the firm uses different strategies for each line to mitigate risks.
B) each line in an industry has a different loss payment time horizon but similar length of time for the investment of the premiums.
C) each line in an industry has varying length of time for the investment of premiums but similar loss payment time horizon.
D) all lines in an industry have similar loss payment time horizon and length of time for the investment of the premiums.
E) each line has a different loss payment time horizon and length of time for the investment of the premiums.

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