AINS 102 UPDATED PT 1 PRACTICE QUESTIONS
AND ANSWERS 100% CORRECT AND UPDATED!
, Which one of the following is considered real property?
Select one:
A. An automobile
B. A house
C. Furniture
D. A motorhome - ANSWER B
The Davis family suffered extensive fire damage to its home and was temporarily
unable to inhabit it. The family was forced to rent a hotel room while its home was under
repair. The cost incurred to rent the hotel room is referred to as which one of the
following outcomes of loss?
Select one:
A. Lost income
B. Increased expenses
C. Reduction in value of property
D. Special damages - ANSWER B
Springton Grocery was a experiencing a frequency of liability claims from customers
slipping and falling near the store entrance on rainy days. The owners decided to
purchase nonslip mats for the areas near the store entrance and exit doors. The mats
significantly reduced the frequency of slip and fall claims. This is an example of which
one of the following risk management techniques?
Select one:
A. Loss prevention
B. Transfer
C. Avoidance
D. Loss reduction - ANSWER A
Sophie was involved in an auto accident with another vehicle. The driver of the other
vehicle was seriously injured. The individual spent 10 days in the hospital, missed 2
months of work, and continues to experience mental distress. The other vehicle was
also damaged, with repair costs of $5,000. It was determined that Sophie was liable for
the damages because she ran a red light and caused the accident. Which one of the
following damages would be considered general damages?
Select one:
A. Damages to the vehicle
B. Mental distress compensation
AND ANSWERS 100% CORRECT AND UPDATED!
, Which one of the following is considered real property?
Select one:
A. An automobile
B. A house
C. Furniture
D. A motorhome - ANSWER B
The Davis family suffered extensive fire damage to its home and was temporarily
unable to inhabit it. The family was forced to rent a hotel room while its home was under
repair. The cost incurred to rent the hotel room is referred to as which one of the
following outcomes of loss?
Select one:
A. Lost income
B. Increased expenses
C. Reduction in value of property
D. Special damages - ANSWER B
Springton Grocery was a experiencing a frequency of liability claims from customers
slipping and falling near the store entrance on rainy days. The owners decided to
purchase nonslip mats for the areas near the store entrance and exit doors. The mats
significantly reduced the frequency of slip and fall claims. This is an example of which
one of the following risk management techniques?
Select one:
A. Loss prevention
B. Transfer
C. Avoidance
D. Loss reduction - ANSWER A
Sophie was involved in an auto accident with another vehicle. The driver of the other
vehicle was seriously injured. The individual spent 10 days in the hospital, missed 2
months of work, and continues to experience mental distress. The other vehicle was
also damaged, with repair costs of $5,000. It was determined that Sophie was liable for
the damages because she ran a red light and caused the accident. Which one of the
following damages would be considered general damages?
Select one:
A. Damages to the vehicle
B. Mental distress compensation
