Amazon owns trucks to transport goods between stores and war…

Amazon owns trucks to transport goods between stores and warehouses. During the trucking operation, Amazon bears all financial responsibility in the form of property damage to its trucks. Amazon owns 400 trucks in the Tampa Bay, FL region fleet of delivery trucks. Over the past several years it has collected the following data for the number of accidents a truck will have in any given year.  Number of accidents a truck has per year (in any given year) Number of trucks in the fleet having that # of accidents per year  0 accidents 340 trucks 1 accident 40 trucks 2 accidents 20 trucks 400 trucks total   Calculate the expected number of accidents (i.e. expected value) that one truck will have in any given year? 

In 2015, the fast casual chain Chipotle had over 500 custome…

In 2015, the fast casual chain Chipotle had over 500 customers in 43 different stores become ill from food that was contaminated with salmonella and E. Coli. In the weeks following this event, Chipotle had its biggest decrease in customer traffic, and in turn revenue, in company history. This spawning from significant negative publicity from news outlets and social media. As a result, Chipotle settled a lawsuit with the victims of the food-borne illness, where the company paid a total of $25 million in the class-action settlement. Secondly, Chipotle invested another $10 million in increased food safety programs for the entire company, to help minimize the risk of food-borne illness from occurring again. Finally, Chipotle invested $50 million into a major promotional campaign, including increased ad space and customer coupons for free burritos from any Chipotle restaurant.  In terms of the Cost of Risk to an organization – what type of cost of risk does the $10 million food safety program represent for Chipotle? 

The COVID-19 pandemic caused personal risk (illness, and in…

The COVID-19 pandemic caused personal risk (illness, and in some cases death) to millions of people around the world; it has caused significant financial losses to many businesses around the world; and overall has disrupted the normal way of life for most people across the globe. Based on what is written above, what type of risk best describes the COVID-19 pandemic?