Which statement concerning towing and labor coverage under the PAP is (are) true? I. There’s no coverage for towing if the auto breaks down—towing is only covered if the auto needs to be towed after a collision has occurred. II. Towing and labor coverage pays for repairs at a service station or garage. A) I […]
Date: September 19th, 2020
Gary purchased a Personal Auto Policy (PAP) that included collision coverage. Gary lost control of his vehicle on an icy road. He slid across the center line into oncoming traffic. Another vehicle hit his car, causing severe damage to it. Ignoring any deductible, what is the insurer’s liability for damage to Gary’s car? A) the […]
Date: September 19th, 2020
The relevant variable a financial manager uses to measure returns is A) net income determined using generally accepted accounting principles. B) cash flows. C) dividends. D) earnings per share minus dividends per share. ANSWER B
Date: September 19th, 2020
Angie was injured when her car was struck by a driver who ran a red light. The other driver carried the minimum liability coverage necessary to be considered financially responsible. Angie’s injuries were $15,000 above the minimum bodily injury limit. There is a coverage that can be added to the PAP that applies when a […]
Date: September 19th, 2020
Financing activities have no impact on the income statement, but rather are reflected in changes in long-term debt and short-term debt on the balance sheet. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
Dennis was involved in an accident. He believes the damage to his auto is $7,000. His insurer believes the damage is only $3,500. Which PAP provision is designed to handle disputes between the insurer and the insured over the amount of the loss? A) other insurance provision B) agreed amount endorsement C) coinsurance provision D) […]
Date: September 19th, 2020
Which of the following statements concerning the collision damage waiver when renting an auto is true? I. It relieves the renter from legal liability to third parties arising out of operation of the rented car. II. It relieves the renter from legal liability for the vehicle if it is damaged or stolen. A) I only […]
Date: September 19th, 2020
Which of the following statements is (are) true with respect to the collision damage waiver on rented cars? I. It is inexpensive and is provided at no charge by most rental car companies. II. It waives the renter’s liability for bodily injury liability arising out of use of the rented auto. A) I only B) […]
Date: September 19th, 2020
The purpose of gap insurance is to A) pay the difference between the bodily injury liability limit purchased and the actual amount of bodily injury liability if it exceeds the limit. B) pay the difference between the amount the insurer pays if a car is a total loss and the remaining amount owed on a […]
Date: September 19th, 2020
The New York Stock Exchange (NYSE) is A) an automated electronic trading platform. B) a hybrid market, allowing for face-to-face trading on the floor of the stock exchange in addition to automated, electronic trading. C) an auction market with face-to-face trading on the floor of the stock exchange in addition to automated, electronic trading. D) […]
Date: September 19th, 2020
