Limited payment life typically terminates coverage at age 65. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
An example of a zero-beta asset is A) the stock of a rapidly-growing Internet company, such as Yahoo!. B) the stock of a mature company, such as General Motors. C) a Treasury bill. D) a thoroughly diversified portfolio of common stocks. ANSWER C
Date: September 19th, 2020
Insurance covering bank savings accounts is called deposit term insurance. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
We present several valuation techniques for publicly traded firms. Which technique will provide the highest value for a firm? A) Discounted cash flow techniques B) Market value techniques C) A comparable analysis technique using an EBITDA multiple D) It is not clear which of these techniques would yield the highest estimated value of a firm. […]
Date: September 19th, 2020
When private disability benefits are integrated, they A) continue until you receive Social Security retirement benefits. B) begin immediately after the onset of the disability. C) are tied to the cost of living. D) are dependent on whether or not you qualify for Social Security disability benefits. ANSWER D
Date: September 19th, 2020
Adverse selection exists when those with higher risk obtain insurance coverage. Indicate whether the statement is true or false ANSWER TRUE
Date: September 19th, 2020
Your Social Security retirement benefits are based upon the amount you paid into the system and your age at retirement. Indicate whether the statement is true or false ANSWER TRUE
Date: September 19th, 2020
Whole life insurance is also called ordinary life insurance. Indicate whether the statement is true or false ANSWER TRUE
Date: September 19th, 2020
Which of the following statements is TRUE? A) VE = EV0 + VD – value of other claims B) VE = EV0 + VD + value of other claims C) VE = EV0 – VD – value of other claims D) VE = EV0 -VD + value of other claims ANSWER C
Date: September 19th, 2020
Indemnification returns you to your pre-loss financial status. Indicate whether the statement is true or false ANSWER TRUE
Date: September 19th, 2020
