All of the following are considered floods under the federal flood insurance program EXCEPT A) the overflow of tidal waters. B) the accumulation of surface water after a heavy rain. C) a mudslide caused by an accumulation of water after a heavy rain. D) the discharge of water from a home appliance, such as a […]
Date: September 19th, 2020
Which of the following statements about various coverages under a Personal Articles Floater is (are) true? I. Each item of jewelry is described and is insured for a specified amount. II. Stamp and coin collections can be insured on a blanket basis. A) I only B) II only C) both I and II D) neither […]
Date: September 19th, 2020
Which of the following is an example of an inflexible expense? A) Mortgage payments B) Entertainment C) Home maintenance D) Newspapers and magazines ANSWER A
Date: September 19th, 2020
Jan showed the following financial items at the ends of 2007 and 2085: 2007 2008 Checking account balance 1,300 1,200 Credit card balances due 700 500 Auto loan ($900 due within one year) 2,700 3,600 Automobile 7,000 8,000 Jewelry 400 300 Stamp collection 1,200 1,000 Jan’s net worth changed in 2008 by A) + $100. […]
Date: September 19th, 2020
Dissavings can A) decrease assets and net worth. B) decrease both assets and liabilities. C) decrease net worth only. D) decrease assets only or liabilities only. ANSWER A
Date: September 19th, 2020
Which of the following statements about federal flood insurance is true? A) It is available even if property has been previously flooded. B) It is unavailable in high-risk flood areas. C) It is available only for residences, not for businesses. D) Waiting periods are not used in the federal flood insurance program. ANSWER […]
Date: September 19th, 2020
All of the following statements about yacht insurance are true EXCEPT A) Property damage coverage includes damage from insects, weathering, and wear and tear. B) Liability coverage includes the cost of raising, removing, or destroying a sunken or wrecked yacht. C) Coverage can be added for maritime workers covered by the United States Longshoremen and […]
Date: September 19th, 2020
In relation to the balance sheet, an income statement shows A) net worth, not the period’s savings or dissavings. B) the period’s savings or dissavings, not net worth. C) activities at a point in time, not over a period of time. D) financial position, not financial performance. ANSWER B
Date: September 19th, 2020
A corporation has annual sales of $18 million, total assets of $4 million, a debt ratio of 40%, depreciation expense of $200,000, and a tax rate of 40%. The corporation’s total stockholders’ equity is equal to A) $2,800,000. B) $2,400,000. C) $1,800,000. D) $5,600,000. ANSWER B
Date: September 19th, 2020
All of the following statements about the boatowners package policy are true EXCEPT A) Physical damage coverage for the boat is usually written to cover all losses except those losses specifically excluded. B) Liability coverage is provided for bodily injury only. C) Some policies provide optional uninsured boaters coverage. D) Medical payments coverage for water-skiers […]
Date: September 19th, 2020
