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SOFE AFE Actual Questions

Page: 6 / 10
Question 24

It refers to items such as interest paid on proceeds from the date due to the date actually disbursed, and to interest on premium deposit funds. These interest items are reflected by the increase in reserves or liability, from one year to the next. What is it?

Options:

A.

Interest contract funds

B.

Interest on policy

C.

Contract funds

D.

B or C

Question 25

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

Options:

A.

The valuation of the mortgage loan portfolio, including a description of the valuation basis for mortgage loans and income recognition

B.

The recorded investment and interest past due on mortgages with interest more than 90 days past due

C.

The recorded investment and number of mortgages on which interest has been reduced, and the percent the interest was reduced

D.

Disclosures of impaired loans: The total recorded investment in impaired loans at the end of each period

Question 26

The agents submit 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 an account current of:

Options:

A.

Insurance billing

B.

Direct billing

C.

Rendering basis

D.

Billing basis

Question 27

Lines of insurance in which claims are settled relatively quickly are called:

Options:

A.

Quick-tail lines

B.

Single-tail lines

C.

Acceptance-tail lines

D.

Short-tail lines

Page: 6 / 10
Exam Code: AFE
Exam Name: Accredited Financial Examiner
Last Update: Nov 21, 2024
Questions: 286
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