Question 1

It's a managed care plan that is similar to a plan that is similar to a PPO but reimburses members only when affiliated providers are used. What is it?

Accepted Answer

A)  Individual practice association 
B)  Preferred provider organization 
C)  Exclusive provider organization 
D)  Point-of-service plan 
A)  Individual practice association 
B)  Preferred provider organization 
C)  Exclusive provider organization 
D)  Point-of-service plan

Question 2

___________ have relatively low risks, compared to other mutual funds.

Accepted Answer

A)  Stock funds 
B)  Hedge funds 
C)  Money funds 
D)  Both B and C 
A)  Stock funds 
B)  Hedge funds 
C)  Money funds 
D)  Both B and C

Question 3

Which of the following analysts think that supply and demand play an important role?

Accepted Answer

A)  Ratio analysts 
B)  Fundamental analysts 
C)  Technical analysts 
D)  Research Analysts 
A)  Ratio analysts 
B)  Fundamental analysts 
C)  Technical analysts 
D)  Research Analysts

Question 4

Which of the following suggests that people express a different degree of emotion towards gains than towards losses?

Accepted Answer

A)  Loss aversion 
B)  Prospect theory 
C)  Illusion of control 
D)  Anchoring 
A)  Loss aversion 
B)  Prospect theory 
C)  Illusion of control 
D)  Anchoring

Question 5

What must be properly coded to meet the statutory reporting requirements of the annual statement and to provide statistics to support filling?

Accepted Answer

A)  Claims data 
B)  Insurance act 
C)  Risk estimation 
D)  Claim settlement 
A)  Claims data 
B)  Insurance act 
C)  Risk estimation 
D)  Claim settlement

Question 6

Hedge funds:

Accepted Answer

A)  Seek to profit in all kinds of markets by pursuing leveraging and other speculative investment practices 
B)  Are subject to very few regulatory controls 
C)  Also have voluntarily restricted investment to wealthy investors through high investment minimums (e.g. $1 million) 
D)  All of these 
A)  Seek to profit in all kinds of markets by pursuing leveraging and other speculative investment practices 
B)  Are subject to very few regulatory controls 
C)  Also have voluntarily restricted investment to wealthy investors through high investment minimums (e.g. $1 million) 
D)  All of these

Question 7

Changes in existing policies that may result in additional premiums or return premiums, such as increases or decreases in coverage limits, in:

Accepted Answer

A)  Endorsement 
B)  Audit premiums 
C)  Change plan 
D)  Policyholder dividends 
A)  Endorsement 
B)  Audit premiums 
C)  Change plan 
D)  Policyholder dividends

Question 8

If a mutual fund has an NAV of $100 million, and investors own $10,000,000 of fund's shares, the funds per share value will be:

Accepted Answer

A)  $100 
B)  $1 
C)  $10 
D)  None of these 
A)  $100 
B)  $1 
C)  $10 
D)  None of these

Question 9

Some of the risks associated with bond funds are all of the following EXCEPT:

Accepted Answer

A)  Credit Risk 
B)  Interest Rate Risk 
C)  Payment Risk 
D)  Liquidity Risk 
A)  Credit Risk 
B)  Interest Rate Risk 
C)  Payment Risk 
D)  Liquidity Risk

Question 10

Which of the following ratios would not be used to draw a conclusion about a company's managerial effectiveness?

Accepted Answer

A)  Net margin 
B)  Price-earning ratio 
C)  Return on equity 
D)  Return on investment 
A)  Net margin 
B)  Price-earning ratio 
C)  Return on equity 
D)  Return on investment

Question 11

Which of the following is not true about technical analysis?

Accepted Answer

A)  It requires some subjective decision making 
B)  Its success would mean markets are not efficient 
C)  Technical analysis is older than fundamental analysis 
D)  None of these 
A)  It requires some subjective decision making 
B)  Its success would mean markets are not efficient 
C)  Technical analysis is older than fundamental analysis 
D)  None of these

Question 12

When one buys a cash instrument, for example 100 shares of ABC Inc., the payoff is linear (disregarding the impact of dividends). If share are purchased at $50 and the price appreciated to $75, we have ________ on a mark-to-mark basis.

Accepted Answer

A)  Made $2500 
B)  Lost $2500 
C)  None of these 
A)  Made $2500 
B)  Lost $2500 
C)  None of these

Question 13

Which one of the following is not commonly granted trustee's powers?

Accepted Answer

A)  Pertaining to the retention, purchase and sale of assets 
B)  Those pertaining to distributions of principal 
C)  Those pertaining to make dealings 
D)  None of these 
A)  Pertaining to the retention, purchase and sale of assets 
B)  Those pertaining to distributions of principal 
C)  Those pertaining to make dealings 
D)  None of these

Question 14

Call provisions are often part of ______________, but usually not bonds issued by ______________.

Accepted Answer

A)  Zero coupon bond, Federal Government bonds 
B)  Corporate bonds, Zero coupon bonds 
C)  Corporate and municipal bonds, bonds issued by Federal Government 
D)  None of these 
A)  Zero coupon bond, Federal Government bonds 
B)  Corporate bonds, Zero coupon bonds 
C)  Corporate and municipal bonds, bonds issued by Federal Government 
D)  None of these

Question 15

Insurance policies may be classified in which of the following categories?

Accepted Answer

A)  By policy planning 
B)  By type of risks coverage 
C)  By kind of insurance underwritten 
D)  All of the above 
A)  By policy planning 
B)  By type of risks coverage 
C)  By kind of insurance underwritten 
D)  All of the above

Question 16

The agents submits to the insurance entity a statement of all policies issued or due during the current month, and the net amount of the statement is subsequently to be paid in accordance with the agency agreement, is a account current of:

Accepted Answer

A)  Insurance billing 
B)  Direct billing 
C)  Rendering basis 
D)  Billing basis 
A)  Insurance billing 
B)  Direct billing 
C)  Rendering basis 
D)  Billing basis

Question 17

Which of the following is a pattern that occurs during high volatility, when a security shows great movement with little direction?

Accepted Answer

A)  Broadening formation 
B)  Relative strength index 
C)  On balance volume 
D)  Bollinger bands 
A)  Broadening formation 
B)  Relative strength index 
C)  On balance volume 
D)  Bollinger bands

Question 18

Many health insurance plans omit or offer only reduced benefits for treatment of mental disorders. For example, a health insurance policy may offer hospitalization benefits that continue to pay as long as you are hospitalized except for mental illness. It may restrict payment for mental illness to one-half of the normally provided payment amounts and for a period not to exceed:

Accepted Answer

A)  15 days 
B)  20 days 
C)  30 days 
D)  25 days 
A)  15 days 
B)  20 days 
C)  30 days 
D)  25 days

Question 19

What is that form of investing in which future value and expected returns are highly uncertain?

Accepted Answer

A)  Hedging 
B)  Speculating 
C)  Short-term investment 
D)  Long-term investment 
A)  Hedging 
B)  Speculating 
C)  Short-term investment 
D)  Long-term investment

It's a managed care plan that is similar to a plan that is similar to a PPO but reimburses members only when affiliated providers are used. What is it?

___________ have relatively low risks, compared to other mutual funds.

Which of the following analysts think that supply and demand play an important role?

Which of the following suggests that people express a different degree of emotion towards gains than towards losses?

What must be properly coded to meet the statutory reporting requirements of the annual statement and to provide statistics to support filling?

Hedge funds:

Changes in existing policies that may result in additional premiums or return premiums, such as increases or decreases in coverage limits, in:

If a mutual fund has an NAV of $100 million, and investors own $10,000,000 of fund's shares, the funds per share value will be:

Some of the risks associated with bond funds are all of the following EXCEPT:

Which of the following ratios would not be used to draw a conclusion about a company's managerial effectiveness?

Which of the following is not true about technical analysis?

When one buys a cash instrument, for example 100 shares of ABC Inc., the payoff is linear (disregarding the impact of dividends). If share are purchased at $50 and the price appreciated to $75, we have ________ on a mark-to-mark basis.

Which one of the following is not commonly granted trustee's powers?

Call provisions are often part of , but usually not bonds issued by .

Insurance policies may be classified in which of the following categories?

The agents submits to the insurance entity a statement of all policies issued or due during the current month, and the net amount of the statement is subsequently to be paid in accordance with the agency agreement, is a account current of:

Which of the following is a pattern that occurs during high volatility, when a security shows great movement with little direction?

What is that form of investing in which future value and expected returns are highly uncertain?

Certified Regulatory Compliance Manager

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Exam 2: Certified Trust and Financial Advisor

It's a managed care plan that is similar to a plan that is similar to a PPO but reimburses members only when affiliated providers are used. What is it?

___________ have relatively low risks, compared to other mutual funds.

Which of the following analysts think that supply and demand play an important role?

Which of the following suggests that people express a different degree of emotion towards gains than towards losses?

What must be properly coded to meet the statutory reporting requirements of the annual statement and to provide statistics to support filling?

Hedge funds:

Changes in existing policies that may result in additional premiums or return premiums, such as increases or decreases in coverage limits, in:

If a mutual fund has an NAV of $100 million, and investors own $10,000,000 of fund's shares, the funds per share value will be:

Some of the risks associated with bond funds are all of the following EXCEPT:

Which of the following ratios would not be used to draw a conclusion about a company's managerial effectiveness?

Which of the following is not true about technical analysis?

When one buys a cash instrument, for example 100 shares of ABC Inc., the payoff is linear (disregarding the impact of dividends). If share are purchased at $50 and the price appreciated to $75, we have ________ on a mark-to-mark basis.

Which one of the following is not commonly granted trustee's powers?

Call provisions are often part of ______________, but usually not bonds issued by ______________.

Insurance policies may be classified in which of the following categories?

The agents submits to the insurance entity a statement of all policies issued or due during the current month, and the net amount of the statement is subsequently to be paid in accordance with the agency agreement, is a account current of:

Which of the following is a pattern that occurs during high volatility, when a security shows great movement with little direction?

What is that form of investing in which future value and expected returns are highly uncertain?

Certified Regulatory Compliance Manager

Filters

Call provisions are often part of , but usually not bonds issued by .