ARM 400 LATEST 2026 EXAM TEST QUESTIONS AND
ANSWERS MARKED A+
✔✔Clear-Rite Company specializes in the clean-up of hazardous chemical spills.
Workers performing clean-up operations must use safety suits to prevent exposure to
the chemicals. The suits include pulse and respiration monitors, body temperature
sensors, and chemical sensors. The monitors and sensors report data to a mobile
operations center which is deployed to each clean-up site. The pulse and respiration
monitors and the sensors that are part of the protective gear are called
A. Magnetometers.
B. Drone technologies.
C. Wearable technologies.
D. Accelerometers. - ✔✔C
✔✔Data Entry Company (DEC) offers customers data entry services. A customer can
hire DEC to enter survey data to be analyzed. Many DEC employees spend long hours
entering data on a computer. DEC has experienced neck strain and wrist pain
complaints from their employees, increasing the company's workers compensation
costs. DEC investigated the complaints of its data-entry employees. DEC adopted
curved keyboards for data entry, wrist-rests for those entering data, and uniform chair
heights and display monitor heights to reduce neck strain claims. The science of
designing work spaces based on the health concerns of those who will operate in the
work space is called
A. Big data.
B. Accelerometer technology.
C. Predictive analytics.
D. Ergonomics. - ✔✔D
✔✔Which one of the following statements about the use of drones is true?
A. The use of drones is limited to military applications.
B. Space and weight limitations prevent drones from being equipped with sensors and
cameras.
C. Drones may be equipped with cameras that relay data in real-time.
D. The reliance on humans to operate drones severely limits their application for
commercial uses. - ✔✔C
✔✔Many auto manufacturers have automated a portion of their assembly lines by
introducing a smart product. The smart product performs repetitive tasks, such as
making the same weld on each vehicle frame as it passes the smart product. These
smart products, which can be fixed or mobile, reduce repetitive motion injuries that
humans might suffer. They can also be used to perform dangerous tasks and in heavy-
lifting jobs. These smart products are called
A. Wearables.
B. Automated sensors.
C. Robots.
,D. Drones. - ✔✔C
✔✔Take Your Order (TYO) is a company that specializes in taking product orders for
vendors. The manufacturer of a product can run a television or internet ad for a product
with a toll-free number. Customer calls for the products are routed to TYO, where one
hundred operators are available to receive the calls. Each operator is assigned a
cubicle with a computer terminal, video display monitor, and a telephone. TYO
experienced high workers compensation claims from its operators, claiming neck strain,
eye strain, and wrist pain. In an effort to reduce such injuries, TYO evaluated each
operator's work area. The height of chairs and video monitors were adjusted, curved
computer keyboards and wrist-rests were provided, and the telephones were replaced
with audio headsets. Workers compensation costs dropped significantly. The science of
designing work spaces based on interaction between people and the equipment in the
work s - ✔✔D
✔✔A municipal water plant installed water flow sensors and water pressure sensors on
the water pipes leaving the plant. The sensors make sure water is flowing properly and
that there are no leaks or clogs which could produce a loss. These types of sensors are
A. Thermal sensors.
B. Mechanical sensors.
C. Biochemical sensors.
D. Radiant sensors. - ✔✔B
✔✔In addition to metal detectors, many airports have installed a second type of
scanning technology for checked baggage and cargo. The checked bags and cargo
pass through a portal with scanners programmed to detect and test for explosive trace
fumes. These scanners, which detect explosives based on air samples, are an example
of what type of sensor used for risk assessment and control?
A. Radiant sensors.
B. Thermal sensors.
C. Biochemical sensors.
D. Mechanical sensors. - ✔✔C
✔✔AMRM Insurance Company sells insurance in Virginia, North Carolina, South
Carolina, and Georgia. The company has compiled a policyowner data base that can be
used to send text messages when hurricanes approach. The company provides early
warnings, storm updates from the National Weather Service, and hurricane safety
measures. The company credits the system with reduced hurricane claims. The use of
the texting system is an example of
A. Preventive analytics.
B. Artificial intelligence.
C. Sensor networks.
D. Experience rating. - ✔✔A
,✔✔In an effort to reduce expenses, increase profitability, and reduce human errors;
ABC Insurance Company decided to automate most of its personal lines underwriting
function. The company now uses standardized application forms that are submitted
electronically to one of the company's regional offices. At each regional office, a
computer with a scanner reads the applications. The computer has been programmed
with acceptable answers to the questions. If the answers on the application are all
acceptable, the policy is automatically issued. Rejected applications are automatically
forwarded to a human underwriter who reviews them. The use of this technology has
reduced the company's expense ratio by two and a half percent, and reduced the time it
takes to issue a policy. ABC Insurance Company's use of computers to evaluate
applications electronically is an application of
A. Radiant sensors.
B. Actuator technology.
C. Risk - ✔✔D
✔✔Autonomous Vehicle Applications (AVA) is a start-up company that develops safety
technologies that can be sold to companies that are producing autonomous vehicles.
One technology AVA is developing allows an autonomous vehicle to detect, extract, and
analyze images; and then to respond to the images. For example, the technology would
detect a presence in a crosswalk, extract the image, and a computer would analyze the
image. When the image was determined to be a human being, the vehicle would slow
down or stop until the crosswalk was clear. This technology, which is designed to
capture and analyze images, and to act on the recognition of the image; is called
A. Visual acuity.
B. Computer vision.
C. Accelerometer technology.
D. Transducer technology. - ✔✔B
✔✔Which one of the following uses infrared light to detect nearby objects?
A. Wearables
B. Drones
C. Robots
D. Lidar - ✔✔D
✔✔Last year, three Metro City firemen died responding to a fire at a chemical plant,
when they were overcome by toxic fumes. In response, Metro City is purchasing
advanced first responder gear. It includes special flame retardant suits with chemical
and explosive fume sensors, air quality sensors, and heat sensors. Responders will also
wear special watches that will track a responder's pulse, respiration, and blood
pressure; and helmets that include video cameras. All of these sensors will feed data to
a computer in real-time. The computer will analyze the data and issue threat levels and
evacuation orders, if necessary. The protective gear Metro City will purchase and the
data transmission and analysis capability illustrate the use of
A. Insurtech.
B. Smart products.
, C. Risk management information systems.
D. Catastrophe modeling. - ✔✔B
✔✔The emerging technologies applied to risk assessment and control link the physical
domain to the virtual domain. Together, these domains linked by the emerging
technologies create a
A. Connected ecosystem.
B. Risk management information system.
C. Smart system.
D. Risk management matrix. - ✔✔A
✔✔Precision Electronic Components manufactures circuit boards, microchips, and
other electronic products. Given the precision necessary for their products, the
manufacturing environment must be controlled. Temperature, humidity, static electricity
and other factors must be monitored. After losing several batches of products due to
human monitoring failures and imprecise adjustments, the company moved to a system
of sensors. The sensors monitor and regulate temperature, humidity, static electricity,
and other factors. The sensors transmit data to and from each other, and the
manufacturing environment is continuously adjusted to assure production is successful.
The network of sensors transmitting data and the autonomous corrective actions without
human interaction is called
A. Sensitivity analysis.
B. Computer-directed manufacturing.
C. Web-based manufacturing.
D. The Internet of Things. - ✔✔D
✔✔It is necessary to assess the risk appetite of a business supplier prior to doing
business because understanding the risk appetite allows the organization to
A. Ascertain whether the relationship is a good fit.
B. Negotiate better prices and delivery times.
C. Better control its production.
D. Leverage its payments to the supplier to the organization's advantage - ✔✔A
✔✔An organization evaluates key stakeholders' attitude toward risk in order to
A. Understand what risks are acceptable and to develop an effective enterprise-wide
risk management program.
B. Understand acceptable risks and gauge its ability to attract new shareholders.
C. Understand acceptable risks and gauge its ability to raise capital.
D. Understand the risk appetite in order to determine what information is disseminated. -
✔✔A
✔✔A speaker imparts information in verbal communications by
A. Using appropriate facial expressions and gestures while other parties express their
opinions and concerns.
ANSWERS MARKED A+
✔✔Clear-Rite Company specializes in the clean-up of hazardous chemical spills.
Workers performing clean-up operations must use safety suits to prevent exposure to
the chemicals. The suits include pulse and respiration monitors, body temperature
sensors, and chemical sensors. The monitors and sensors report data to a mobile
operations center which is deployed to each clean-up site. The pulse and respiration
monitors and the sensors that are part of the protective gear are called
A. Magnetometers.
B. Drone technologies.
C. Wearable technologies.
D. Accelerometers. - ✔✔C
✔✔Data Entry Company (DEC) offers customers data entry services. A customer can
hire DEC to enter survey data to be analyzed. Many DEC employees spend long hours
entering data on a computer. DEC has experienced neck strain and wrist pain
complaints from their employees, increasing the company's workers compensation
costs. DEC investigated the complaints of its data-entry employees. DEC adopted
curved keyboards for data entry, wrist-rests for those entering data, and uniform chair
heights and display monitor heights to reduce neck strain claims. The science of
designing work spaces based on the health concerns of those who will operate in the
work space is called
A. Big data.
B. Accelerometer technology.
C. Predictive analytics.
D. Ergonomics. - ✔✔D
✔✔Which one of the following statements about the use of drones is true?
A. The use of drones is limited to military applications.
B. Space and weight limitations prevent drones from being equipped with sensors and
cameras.
C. Drones may be equipped with cameras that relay data in real-time.
D. The reliance on humans to operate drones severely limits their application for
commercial uses. - ✔✔C
✔✔Many auto manufacturers have automated a portion of their assembly lines by
introducing a smart product. The smart product performs repetitive tasks, such as
making the same weld on each vehicle frame as it passes the smart product. These
smart products, which can be fixed or mobile, reduce repetitive motion injuries that
humans might suffer. They can also be used to perform dangerous tasks and in heavy-
lifting jobs. These smart products are called
A. Wearables.
B. Automated sensors.
C. Robots.
,D. Drones. - ✔✔C
✔✔Take Your Order (TYO) is a company that specializes in taking product orders for
vendors. The manufacturer of a product can run a television or internet ad for a product
with a toll-free number. Customer calls for the products are routed to TYO, where one
hundred operators are available to receive the calls. Each operator is assigned a
cubicle with a computer terminal, video display monitor, and a telephone. TYO
experienced high workers compensation claims from its operators, claiming neck strain,
eye strain, and wrist pain. In an effort to reduce such injuries, TYO evaluated each
operator's work area. The height of chairs and video monitors were adjusted, curved
computer keyboards and wrist-rests were provided, and the telephones were replaced
with audio headsets. Workers compensation costs dropped significantly. The science of
designing work spaces based on interaction between people and the equipment in the
work s - ✔✔D
✔✔A municipal water plant installed water flow sensors and water pressure sensors on
the water pipes leaving the plant. The sensors make sure water is flowing properly and
that there are no leaks or clogs which could produce a loss. These types of sensors are
A. Thermal sensors.
B. Mechanical sensors.
C. Biochemical sensors.
D. Radiant sensors. - ✔✔B
✔✔In addition to metal detectors, many airports have installed a second type of
scanning technology for checked baggage and cargo. The checked bags and cargo
pass through a portal with scanners programmed to detect and test for explosive trace
fumes. These scanners, which detect explosives based on air samples, are an example
of what type of sensor used for risk assessment and control?
A. Radiant sensors.
B. Thermal sensors.
C. Biochemical sensors.
D. Mechanical sensors. - ✔✔C
✔✔AMRM Insurance Company sells insurance in Virginia, North Carolina, South
Carolina, and Georgia. The company has compiled a policyowner data base that can be
used to send text messages when hurricanes approach. The company provides early
warnings, storm updates from the National Weather Service, and hurricane safety
measures. The company credits the system with reduced hurricane claims. The use of
the texting system is an example of
A. Preventive analytics.
B. Artificial intelligence.
C. Sensor networks.
D. Experience rating. - ✔✔A
,✔✔In an effort to reduce expenses, increase profitability, and reduce human errors;
ABC Insurance Company decided to automate most of its personal lines underwriting
function. The company now uses standardized application forms that are submitted
electronically to one of the company's regional offices. At each regional office, a
computer with a scanner reads the applications. The computer has been programmed
with acceptable answers to the questions. If the answers on the application are all
acceptable, the policy is automatically issued. Rejected applications are automatically
forwarded to a human underwriter who reviews them. The use of this technology has
reduced the company's expense ratio by two and a half percent, and reduced the time it
takes to issue a policy. ABC Insurance Company's use of computers to evaluate
applications electronically is an application of
A. Radiant sensors.
B. Actuator technology.
C. Risk - ✔✔D
✔✔Autonomous Vehicle Applications (AVA) is a start-up company that develops safety
technologies that can be sold to companies that are producing autonomous vehicles.
One technology AVA is developing allows an autonomous vehicle to detect, extract, and
analyze images; and then to respond to the images. For example, the technology would
detect a presence in a crosswalk, extract the image, and a computer would analyze the
image. When the image was determined to be a human being, the vehicle would slow
down or stop until the crosswalk was clear. This technology, which is designed to
capture and analyze images, and to act on the recognition of the image; is called
A. Visual acuity.
B. Computer vision.
C. Accelerometer technology.
D. Transducer technology. - ✔✔B
✔✔Which one of the following uses infrared light to detect nearby objects?
A. Wearables
B. Drones
C. Robots
D. Lidar - ✔✔D
✔✔Last year, three Metro City firemen died responding to a fire at a chemical plant,
when they were overcome by toxic fumes. In response, Metro City is purchasing
advanced first responder gear. It includes special flame retardant suits with chemical
and explosive fume sensors, air quality sensors, and heat sensors. Responders will also
wear special watches that will track a responder's pulse, respiration, and blood
pressure; and helmets that include video cameras. All of these sensors will feed data to
a computer in real-time. The computer will analyze the data and issue threat levels and
evacuation orders, if necessary. The protective gear Metro City will purchase and the
data transmission and analysis capability illustrate the use of
A. Insurtech.
B. Smart products.
, C. Risk management information systems.
D. Catastrophe modeling. - ✔✔B
✔✔The emerging technologies applied to risk assessment and control link the physical
domain to the virtual domain. Together, these domains linked by the emerging
technologies create a
A. Connected ecosystem.
B. Risk management information system.
C. Smart system.
D. Risk management matrix. - ✔✔A
✔✔Precision Electronic Components manufactures circuit boards, microchips, and
other electronic products. Given the precision necessary for their products, the
manufacturing environment must be controlled. Temperature, humidity, static electricity
and other factors must be monitored. After losing several batches of products due to
human monitoring failures and imprecise adjustments, the company moved to a system
of sensors. The sensors monitor and regulate temperature, humidity, static electricity,
and other factors. The sensors transmit data to and from each other, and the
manufacturing environment is continuously adjusted to assure production is successful.
The network of sensors transmitting data and the autonomous corrective actions without
human interaction is called
A. Sensitivity analysis.
B. Computer-directed manufacturing.
C. Web-based manufacturing.
D. The Internet of Things. - ✔✔D
✔✔It is necessary to assess the risk appetite of a business supplier prior to doing
business because understanding the risk appetite allows the organization to
A. Ascertain whether the relationship is a good fit.
B. Negotiate better prices and delivery times.
C. Better control its production.
D. Leverage its payments to the supplier to the organization's advantage - ✔✔A
✔✔An organization evaluates key stakeholders' attitude toward risk in order to
A. Understand what risks are acceptable and to develop an effective enterprise-wide
risk management program.
B. Understand acceptable risks and gauge its ability to attract new shareholders.
C. Understand acceptable risks and gauge its ability to raise capital.
D. Understand the risk appetite in order to determine what information is disseminated. -
✔✔A
✔✔A speaker imparts information in verbal communications by
A. Using appropriate facial expressions and gestures while other parties express their
opinions and concerns.
