Financial managers deal only with speculative risks.

Question

Quizplus · Accepted Answer

Financial managers deal with both speculative and pure risks. Speculative risks refer to uncertainties related to market fluctuations, investment decisions, and other financial activities that may result in gains or losses. On the other hand, pure risks refer to uncertainties related to potential loss or damage, such as natural disasters or accidents. Financial managers need to manage both types of risks to ensure the financial stability and success of their organizations.

Financial Managers Deal Only with Speculative Risks