There are two very important differences between calculating profitability of bread manufacturers and insurance companies. Which of the below is ONE of these?

One difference is that the timing and magnitude of the payments are much more certain for an insurance company.

One difference is that there is a long lag between the receipts and payments for an insurance company, which introduces the importance of the investment portfolio.

One difference is that the timing and magnitude of the payments are much less certain for a bread company.

One difference is that there is a short lag between the receipts and payments for an insurance company.

Question

There are two very important differences between calculating profitability of bread manufacturers and insurance companies. Which of the below is ONE of these?

		One difference is that the timing and magnitude of the payments are much more certain for an insurance company.
		One difference is that there is a long lag between the receipts and payments for an insurance company, which introduces the importance of the investment portfolio.
		One difference is that the timing and magnitude of the payments are much less certain for a bread company.
		One difference is that there is a short lag between the receipts and payments for an insurance company.

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Question

There are two very important differences between calculating profitability of bread manufacturers and insurance companies. Which of the below is ONE of these? One difference

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