QUESTION 1

a) There are five methods can be used to handle risk. For each of the following situations, state and explain an appropriate method for handling risk.

i. Fires can be prevented by forbiding workers to smoke in a building where highly

flammable materials are used. (5marks)

ii) The installation of sprinkler system in a hotel. (5marks)

iii) The risk of premature death faced by a breadwinner in a family. (5marks)

iv. Divorce can be avoided by not marrying. (5marks)

b) Identify Four (4) risk management processes of methods handling risk. (4 marks)