ASSOCIATE – IC26 LIFE INSURANCE FINANCE – 15

Que. 1 : Q1) The Process of transferring the Debit and Credit items from a Journal to their respective accounts in the Ledger is termed as________

   1.  a) Posting

   2.  b) Purchase

   3.  c) Balancing of an account

   4.  d) Accuracy test

Que. 2 : Q2) In ________, the sum assured is payable only in the event of death of the life assured occurring within a defined period.

   1.  a) whole Life Insurance Plan

   2.  b) Term Insurance Plan

   3.  c) Endowment Insurance Plan

   4.  d) Money Back Plan

Que. 3 : Q3) Cash Transaction where fake currency notes or bank notes have been used as genuine or where any forgery of a valuable security has taken place have to be reported to FIU-India within _________.

   1.  a) A. 7 Days

   2.  b) B. 6 Days

   3.  c) C. 17 Days

   4.  d) D. 13 Days

Que. 4 : Q4) ___________ risk means losses due to exposure to only a certain amount of investment where the insurer puts all his money in one kind of asset.

   1.  a) A. Credit

   2.  b) B. Capital

   3.  c) C. Market

   4.  d) D. Concentration

Que. 5 : Q5) An Expense on major repairs of machinery purchased second hand has been debited to repairs account. It involves an error of____________

   1.  a) Error of Omission

   2.  b) Error of Commission

   3.  c) Error of Principle

   4.  d) Compensating Error