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O-LevelCommerceInsuranceOct/Nov 2016Paper 1 Q311 Mark

The Managing Directors of four companies have made the following statements. Which statement refers to an uninsurable risk?

AMy Chief Designer has just died. This is bound to affect our business and profits.
BMy company profits are down this year. This is because of the fraud by the Chief Accountant.
CMy drivers have had lots of accidents this year. We have had to replace four lorries.
DMy Purchasing Manager bought the wrong goods. They had to be sold at a loss.

✓ Correct Answer

The correct answer is D. This question tests the candidate's understanding of insurance within the Commercesyllabus. The examiner's mark scheme requires...

📋 Examiner Report & Trap Analysis

Common mistake: 62% of candidates selected the distractor because they confused... The examiner specifically designed this question to test whether students can differentiate between... To secure full marks, candidates must demonstrate...

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About This O-Level Commerce Question

This multiple-choice question appeared in the Cambridge O-Level Commerce (7100) Oct/Nov 2016 examination, Paper 1 Variant 2. It tests the topic of Insurance and is worth 1 mark.

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