Exam 1: Accredited Financial Examiner

The method which assumes that an entity's experience in estimating case-basis reserves will be repeated in the future is called:

What is the act in which the main sections are for Canadian companies and for foreign companies?

A mismatch in the timing of asset maturities relative to policy benefits requiring either reinvestment or disinvestment by the insurer at uncertain future interest rates is known as:

Which of the following is NOT the kind of public entity risk pools?

What is the purpose of consolidated financial statements?

The difference between the purchase price and the repurchase price, or sale price, plus accrued interest on the security represents:

Insurers issuing participating policies sometimes incur dividends which have been earned but which have not been disbursed or otherwise credited as of the financial statement date. Such dividends represent a due and unpaid liability amount. Reasons why dividends may be due and unpaid include all of the following EXCEPT:

National Association of Insurance Commissioners stated that, has no effect on the valuation of securities for statutory accounting purposes, provided the amount of the collateral at least equals the required collateral.

What technique uses a risk-adjusted discount rate and contractual, promised, or most likely cash flows?

It is defined as a debt restructuring whereby the insurer for economic or legal reasons related to borrower financial difficulties, grants a concession to the debtor that it would not otherwise grant.

The contracts that are not subject to unilateral changes in its provision and requires the performance of various functions and services for an extended period is called:

Financial Statements provide additional valuable information on the loans. Some of the more significant information provided includes EXCEPT:

Which of the following is the significant requirement for ongoing regulatory reporting to the Office of the Superintendent of Financial Institutions ("OSFI")?

The securities repurchased have the same stated interest rate as, and maturities similar to, the securities sold and are generally priced to result in substantially the same yield is known as:

____________ is considered to be self-sustaining if it is financially and operationally independent of the reporting enterprise.

Tax Act states that:

What may leave more risk than a company should prudently assume due to the risk exacerbating features of a particular product?

Monetary items and non-monetary items carried at market value are translated into the reporting currency at the rate of exchange in effect on the balance sheet date under:

Adjusting and Others (AO) reserves are often provided for by using the calendar year paid-to-paid method rather than the accident year paid-to-paid method used for Inflation in Defense & Cost Containment (DCC) reserves.

________________ is an agreement between two counterparties to enter into a particular transaction at a specified date in the future at an agreed-upon price.