IC46 GENERAL INSURANCE ACCOUNTS PREPARATION - 17
| Q1.Which is also referred to as non-proportional reinsurance arrangements? |
| a) Surplus treaty reinsurance |
| b) Per occurrence excess |
| c) Facultative reinsurance treaty |
| d) Excess of loss treaty |
| Q2.An Ltd. took over B Ltd. on April 01, 2014, and discharges considerations for the business as follows: a) Issued 5,20,000 fully paid equity shares of Rs.10 each at par to the equity shareholders of B Ltd. b) Issued fully paid up 15% preferences shares of Rs.100 each to discharge the preference shareholders(Rs.2200,000) of B Ltd. at a premium of 10%. c) It is agreed that the 11% Debentures of B Ltd.(Rs.600000) will be converted into an equal number and amount of 13% Debentures of A Ltd. Calculate purchase consideration: |
| a) Rs.34,60,000 |
| b) Rs.55,30,000 |
| c) Rs.76,20,000 |
| d) Rs.88,60,000 |
| Q3.What is calculated with reference to Net worth being excess of assets over liabilities in both the policyholders' funds and the shareholders' fund? |
| a) Required solvency Margin |
| b) Available Solvency Margin |
| Q 4. Which method is also known as the Retail Method? |
| a) Weighted Average method |
| b) FIFO(First In First Out) |
| c) Standard Cost method |
| d) Adjusted Selling Price Method |
| Q5.Accounting Standard AS 22 Deals with? |
| a) Accounting for Taxes and Income |
| b) Accounting for the Effects of Change in Foreign Exchange Rates |
| c) Consolidated Financial Statements |
| d) Earning Per Share |
| Q6.Which of the following is correct about Ledger? |
| a) Books of prime entry |
| b) Debit and credit amounts of a transaction are recorded in adjacent columns |
| c) It is the basis of preparing the final accounts |
| d) It is not balanced |
| Q7.In accordance with Schedule B of the IRDAI(Preparation of Financial Statements and Auditor's Report of Insurance Companies) Regulations,2002, Revenue Accounts need to be separately prepared for which of the following insurance businesses? |
| a) Fire, marine, and miscellaneous |
| b) Fire and marine |
| c) Marine and miscellaneous |
| d) Only miscellaneous |
| Q8. Which of the following are important accounting concepts? |
| a) Going concern concept |
| b) Duality Aspect Concept |
| c) Accrual Concept |
| d) All of these |
| Q9.What including government securities and redeemable preference shares shall be considered to be held to maturity securities and shall be measured at historical cost subject to amortization? |
| a) Acquisition cost |
| b) Premium Deficiency |
| c) Claims |
| d) Debt Securities |
| Q10.Which of the following items should be included under the Nomination and Remuneration Committee? |
| a) Number of pending complaints |
| b) Location and time, where the last three AGMs held |
| c) Brief description of terms of reference |
| d) Attendance during the year |