Which of the following statements is (are) true with regard to an unendorsed ISO Dwelling Form? I. The Dwelling forms provide theft coverage and personal liability insurance. II. The Dwelling 3 form provides broader property coverage than the Dwelling 1 form. A) I only B) II only C) both I and II D) neither I […]
Date: September 19th, 2020
Tina purchased a personal umbrella policy with a $1 million limit and a $1,000 self-insured retention. Her insurer required her to carry a $300,000 liability limit under her homeowners policy. Tina was held responsible for slandering a public official. The public official won a $100,000 judgment against Tina. The insurer that wrote Tina’s homeowners policy […]
Date: September 19th, 2020
In a limited partnership at least one general partner must exist; that general partner has unlimited liability. Indicate whether the statement is true or false ANSWER TRUE
Date: September 19th, 2020
An all-stock portfolio is more risky than a portfolio consisting of all bonds. Indicate whether the statement is true or false ANSWER TRUE
Date: September 19th, 2020
Which of the following is an advantage of using private placements for debt? A) fewer and less burdensome restrictive covenants B) reduced costs from the elimination of the registration statement for the SEC, investment-banking underwriting fees and distribution costs C) lower interest costs D) the possibility of future SEC registration ANSWER B
Date: September 19th, 2020
Tina purchased a personal umbrella policy with a $1 million limit. Her insurer required her to carry liability limits of 250/500/50 under her auto insurance policy. The personal umbrella policy was written with a $1,000 self-insured retention. Tina was responsible for an auto accident in which the other driver was severely injured. The other driver’s […]
Date: September 19th, 2020
Len is considering the purchase of a home. As a home is a large investment, Len wants to make sure that there are no liens, easements, or other encumbrances preventing him from an unchallenged right to possess and enjoy his property. Len can protect this right through the purchase of A) extended coverage insurance. B) […]
Date: September 19th, 2020
Based on the information in Table 4-1, the accounts receivable turnover is A) 10.00. B) 9.50. C) 8.11. D) 11.11. ANSWER D
Date: September 19th, 2020
The procedure by which significant changes may be made to a partnership, such as admission of a new partner or termination of the partnership, are governed by each state so no partnership agreement is needed. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
Martin would like to insure valuable personal property limited in coverage by his homeowners policy. Martin has two options. He can purchase the coverage through a separate personal articles floater policy or he can add an endorsement to his homeowners policy. The endorsement is called the A) extended coverage endorsement. B) scheduled personal property endorsement. […]
Date: September 19th, 2020
