Question

The concept of an optimum retention refers to:

a.

A retention level acceptable to diverse interests

b.

The elimination of all risk from the portfolio

c.

A retention level that maximizes profits

d.

A retention level that eliminates fluctuations

Answer: (a).A retention level acceptable to diverse interests Explanation:There is no concept of a correct retention, but only an optimum retention acceptable to the diverse interests.

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Q. The concept of an optimum retention refers to:

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