SOFE SOFE Certification SOFE-CFE Questions & Answers

• Question 361:

  Which is the form usually used to fulfill annual reporting requirements under the Securities Exchange Act of 1934?

  A. Form 10-K

  B. Form 10-Q

  C. Form 8-K

  D. Form 8-Q

  Correct Answer: B

• Question 362:

  In order to properly determine the filing deadlines for Form 10-K (and Form 10-Q), a registrant must first determine whether it is:

  A. an accelerated filer

  B. a large accelerated filer

  C. a non-accelerated filer

  D. All of the above

  Correct Answer: D

• Question 363:

  Which form of Securities Act of 1933 is used to register shares offered in connection with business combinations, transactions and exchange offers?

  A. Form S-1

  B. Form S-3

  C. Form S-4

  D. Form S-8

  Correct Answer: C

• Question 364:

  What is that portion of the registration statement which provides principally, transaction oriented information, and which is distributed by securities underwriters to prospective purchasers of the securities being offered for sale?

  A. Registrants

  B. Prospectus

  C. Beneficiary plan

  D. Audited income

  Correct Answer: B

• Question 365:

  With what method, companies are required to estimate the amount and effect of the yearend cumulative temporary differences including any amount of valuation allowance to be recorded against deferred tax assets?

  A. liability method

  B. Deferred tax method

  C. Expense method

  D. Pre-tax income method

  Correct Answer: A

• Question 366:

  The annual reports from certain insurers to their shareholders must conform to specific SEC disclosure requirements. According to the Securities and Exchange Commission (SEC), which of the following information must be provided?

  A. selected financial data for the past five years

  B. a discussion and analysis by management that includes liquidity

  C. financial statements that include income statements, statements of cash flows, and balance sheets

  D. All of the above

  Correct Answer: D

• Question 367:

  The tax components of continuing operations typically include which of the following:

  A. Changes in tax status

  B. Discontinued operations

  C. Extraordinary items

  D. All of the above

  Correct Answer: D

• Question 368:

  Tax expense for interim periods is measured using an estimated ______________of the annual period.

  A. Annual dividend rate

  B. annual effective rate

  C. Deferred rate D. Interim report rate

  Correct Answer: B

• Question 369:

  Which if the following is the possible source of taxable income may be available under the tax law to realize a tax benefit for deductible temporary differences and carryforwards?

  A. Future reversals of existing taxable temporary differences

  B. Future taxable income exclusive of reversing temporary differences and carryforwards

  C. Taxable income in prior carryback year(s), if carryback is permitted

  D. All of the above

  Correct Answer: D

• Question 370:

  A deferred tax asset for deductible temporary differences expected to be realized by carry-back would be measured using the tax law and rates for the year in which the refund is expected to be realized.

  A. True

  B. False

  Correct Answer: A