Risk Management

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Jeannine D


Date added:

January 21, 2015








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The total forecasted amount of loss for the first half of 2006 is close to $80,988.8484 assuming that the companies total miles driven will be close to last 4 periods average of 194411.75. The total maximum probable loss is $246,145.2704. The company's net cash flow average of $90,000 is relatively low when compared to the maximum probable loss they face...
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The forecasted average of the losses faced by the company in the first half of 2006 are much higher than the given average cash flow. If the company's cash flows are consistent from year to year, then they will have no way of retaining their expected losses and must consider alternative ways to finance losses...
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