In addition to the named insured, all of the following are insureds under the Commercial General Liability Policy EXCEPT A) suppliers of products to the named insured’s business. B) the insured’s employees while acting within the scope of their employment. C) the manager of the insured’s real estate. D) partners of the named insured. […]
Which of the following statements about workers compensation insurance is (are) true? I. Under the workers compensation part of the policy, the insurer agrees to pay the benefits required by the workers compensation law of any state listed in the policy declarations. II. The employers liability part of the policy provides workers compensation benefits when […]
Which of the following statements regarding employer liability insurance under the workers compensation insurance coverage form is (are) true? I. Employer liability insurance covers an employee injury that occurs on the job but may not be considered work-related. II. If an injured employee sues a negligent third-party, and the third-party sues the employer for contributory […]
The portfolio beta is simply the sum of the betas of the individual stocks in the portfolio. Indicate whether the statement is true or false ANSWER FALSE
Issuing equity automatically hurts existing shareholders. Indicate whether the statement is true or false ANSWER FALSE
From a budgeting view, which of the following statements is not true concerning variances? A) A favorable expense variance means the budgeted amount was more than actual. B) Cumulative variance = current month’s variance + variances of previous months. C) Ideally, cumulative variances for the year will equal zero. D) Ideally, cumulative variances for the […]
A provision included in a claims-made commercial general liability policy provides coverage for claims filed after the policy has expired. This provision is called a(n) A) extended reporting period provision. B) agreed amount endorsement. C) retroactive date provision. D) per-occurrence limit clause. ANSWER Answer: A
Which of the following is (are) covered under a claims-made policy? I. Claims arising out of occurrences which take place during the policy period, regardless of when the claim is made II. Claims first reported during the policy period, provided the event occurred after a retroactive date stated in the policy A) I only B) […]
Auto Loans R Them loans you $24,000 for four years to buy a car. The loan must be repaid in 48 equal monthly payments. The annual interest rate on the loan is 9 percent. What is the monthly payment? A) $543.79 B) $563.82 C) $597.24 D) $500.92 ANSWER C
What information does a firm’s statement of cash flows provide to the viewing public? A) a report documenting a firm’s cash inflows and cash outflows from operating, financing, and investing activities for a defined period of time B) an itemization of all of a firm’s assets, liabilities, and equity for a defined period of time […]
