Objective risk is defined as

Question

Question: Objective risk is defined as

Options:

1.  The probability of loss
2.  The relative variation of actual loss from expected loss
3.  Uncertainty based on a person’s mental condition or state of mind
4.  The cause of loss

Answer 1

2. The relative variation of actual loss from expected loss

Objective risk is defined as the relative variation of actual loss from expected loss.