IIA IIA-CFSA Online Practice Questions and Exam Preparation

IIA IIA-CFSA Online Questions & Answers

• Question 471:

  The primary objective/s of ECB is/are:

  A. To maintain price stability
  B. To support the general economic policies in the community with a view to contributing to the achievement of the objectives of the community
  C. To achieve a high level of employment and sustainable and non-inflationary growth
  D. None of these
  A. To maintain price stability

• Question 472:

  Endowment policies are similar to___________ policies in that premiums are usually level through the term of policy and the policies build cash values.

  A. Permanent life insurance
  B. Straight life insurance
  C. Whole life insurance
  D. Universal life insurance
  A. Permanent life insurance

• Question 473:

  The fund prospectus is the document that provides a general overview and description of the fund. The intent is to provide a potential investor with enough information to make a sound financial decision. The following information is generally placed in a prospectus EXCEPT:

  A. General description of the fund
  B. Condensed financial information (including annual rate of return and fees)
  C. All the management staff
  D. How to purchase and redeem shares
  C. All the management staff

• Question 474:

  Which of the following are duties of insurance commissioners in regulating insurers?

  Rule of the constitutionality of insurance law.

  II. Determine if an insurer meets the requirements to obtain a license.

  III. Render decisions on the meaning of policy terms.

  IV.

  Conduct financial investigations of insurers operating in the state.

  A. I and II only
  B. I and III only
  C. II and IV only
  D. I, II, and III.
  C. II and IV only

• Question 475:

  If more funds than expected are needed to cover loans losses in a given period, the reserve must be increased and the difference is charged to:

  A. Administration expenses
  B. Prepaid assets
  C. Operating expenses
  D. Loan expenses
  C. Operating expenses

• Question 476:

  Data gathering and evaluation during field work includes:

  A. Gaining and understanding of the activity, system, or process under review
  B. Observing conditions and operations
  C. Interviewing people and examining assets and accounting, and other operational business, and other operational records.
  D. All of these
  D. All of these

• Question 477:

  These are the most common type of municipal bonds and are backed by projected revenue streams from the infrastructure built by the bond. These revenues can be in the form of rental r user fees for facilities or even tolls for road improvements. What are these?

  A. Doubled barreled bonds
  B. Moral obligation bonds
  C. Special tax bonds
  D. Revenue bonds
  D. Revenue bonds

• Question 478:

  Initially, back-office operation were created as captives of parent companies and treated as cost centers from cost centers to profit centers due to:

  A. The emergence of third-party back-office facilities making it possible for corporation to avail of their services
  B. Corporation are increasingly converting captive back-office operations into profit centers by accepting external clients
  C. Stagnant position of service activities being outsourced.
  D. Both AandB
  D. Both AandB

• Question 479:

  Repos and Reverse repos govern instances such as:

  A. When a bank invests excess funds by buying securities from another bank or securities dealer
  B. When a bank withdraws excess funds by selling securities to another bank
  C. Both A and B
  D. None of these
  A. When a bank invests excess funds by buying securities from another bank or securities dealer

• Question 480:

  The primary mechanism for estimating potential losses is mathematical methodology, value at risk ("VaR") which estimates the exposure to market risk:

  A. Within a given level of risk, over a defined time period
  B. Within a given financial arrange over a specified level of risk
  C. Within an unlimited time period over a specified level of risk
  D. None of these
  A. Within a given level of risk, over a defined time period