Cisco®
Oracle
CompTIA
Checkpoint
ISC
EC-Council
EXIN
Fortinet
ITIL®
Juniper
Microsoft
VMware
Avaya
SAP
Google
Salesforce
Amazon
Palo Alto Networks
ISC2
Splunk®
All Vendors
  2. Home
  3. Exams
  4. Financial
  5. SOFA-CFE

Free Financial SOFA-CFE Exam Questions (page: 4)

Page 4 of 53
PDF with 416 Questions

Which payments reflect the amount of reinsurance recoverable from reinsurers based upon the amounts paid by the ceding company under reinsured policies?

  1. loss adjustment expense
  2. premium expense
  3. payment assessment expense
  4. All of the above

Answer(s): A



Admissibility test must be applied to determine the amount of deferred tax asset (DTAs) that can be admitted is called:

  1. Maximum DTA
  2. Minimum DTA
  3. Net DTA
  4. Gross DTA

Answer(s): D



Which software must be established as a non-admitted asset and written off over a period not to exceed the lesser of the useful life of the software or five years.

  1. Non-reliable system
  2. Non-secure system
  3. Non-operating system
  4. Non-expensed system

Answer(s): C



Income earned as of the reporting date but not legally due to be paid to the reporting entity until subsequent to the reporting date is known as:

  1. Investment income accrued
  2. Interest income
  3. Real state income
  4. Investment income depreciated

Answer(s): A



What bears all of the insurance risk, and there is no possibility of loss or liability to the administrator caused by claims incurred related to the plan.

  1. Uninsured Investment Plans
  2. Uninsured Accident and Health Plans
  3. Real state income Plans
  4. Investment Write-off Plans

Answer(s): B



Material amounts must be capitalized and depreciated, and the un-depreciated amount must be reported as a non-admitted asset.

  1. True
  2. False

Answer(s): A



Loans on company's stock represent situations where the insurer lends money and accepts its own stock as collateral.

  1. True
  2. False

Answer(s): A



The concept of unearned premium is important to the business of insurance for which principal reason?

  1. the concept deals with the recognition of revenue over the period of time in which a policy is in-
    force.
  2. state insurance laws require each insurer to establish a liability equal to its unearned premiums.
  3. Both A and B
  4. Neither A nor B

Answer(s): C



Viewing page 4 of 53



Post your Comments and Discuss Financial SOFA-CFE exam prep with other Community members:

SOFA-CFE Exam Discussions & Posts