Free SOFA-CFE Exam Braindumps
Certified Financial iner Questions 126–130 (page: 27)

Updated On: 10-Feb-2026

Premium income is deferred by 80 percent of the increase in the reserve for _________ premiums that applies to the unexpired period of an insurance contract

  1. earned
  2. unearned
  3. obligatory
  4. reserved

Answer(s): B



15 percent of otherwise tax exempt interest income and the dividends received deduction are included in the company's income, in which factor?

  1. Offset property
  2. Colonial act
  3. Proration
  4. reserved act

Answer(s): C



What begins with gross premiums written and are reduced by return premiums and premiums paid for reinsurance?

  1. Premiums unearned
  2. Premiums earned
  3. Deposited premiums
  4. Reinsured premiums

Answer(s): B



Written "amounts payable" for insurance coverage are called:

  1. Gross premiums
  2. Net premiums
  3. Deposited premiums
  4. Earned premiums

Answer(s): A



Spreading the deduction for ultimate incurred losses and loss adjustment expense reserves ("LAE") over a number of years is called:

  1. Inference
  2. Abstraction
  3. Take off
  4. Discounting

Answer(s): D



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