Suppose movie producers could buy "box office insurance" that guaranteed them a specified gross revenue for a particular film. Such policies could be very valuable economically. Producers might produce risky movies. Insurance companies could find selling such policies appealing in principle as well: if insurers spread their risk over enough movies, they could earn enough premium from successful movies. So why there isn't such policy?

Answer and explanation:

Out of the vast number of movies produced only a few of them become blockbusters. Thus, insurance companies see reduce their chances of insuring such movies. If they would not take this into account and provide a policy to regular and bad performing selling films, insurance companies would be paying huge amounts of money to their producers which is not convenient for them.

it is a i took the test.

the definition of a small business is an independently owned and operated company that is limited in size and in revenue depending on the industry. a local bakery that employs 10 people is an example of a small business. a manufacturing facility that employees less than 500 people is an example of a small business.