Free CFE Exam Braindumps (page: 51)

Page 51 of 105

The reasons for allocating surplus usually relate to profit measurement and below which of the following is the example of allocation:

  1. rate of return pricing
  2. internal company profit measures by business segment
  3. certain state excess profit laws
  4. All of the above

Answer(s): D



A company normally will generate maximum after-tax return on investments by investing in tax exempt instruments.

  1. True
  2. False

Answer(s): A



The tax effect of the 20 percent adjustment to what deduction depends on underwriting decisions?

  1. Earned Premium Reserve
  2. Alternative minimum tax
  3. Unearned Premium Reserve
  4. Strategic reserve

Answer(s): C



If a coverage dispute should arise at some future time, the contract documentation can prove to be invaluable during:

  1. reinsurance distribute process
  2. dispute resolution process
  3. contractual distribute process
  4. Legal agreement process

Answer(s): B



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sena commented on May 31, 2019
I will see if this helps
TURKEY
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