CPCU 551 Study Guide- Questions with Correct Answers

Question 1 ID# 5926848Points: 1 Flag Question Question text A self-supporting solid wall that prevents a fire from passing through or around it is a Select one: A. Hostile fire. B. Fire wall. C. Fire division. D. Fire stop. b Question 2 ID# 5855905Points: 1 Flag Question Question text Alice bought furniture for her home using store credit. There were no liens attached, and when Alice could not pay the full amount for the furniture, the store owner sued her. The store owner was Select one: A. A secured creditor. B. A bailor. C. An unsecured creditor. D. A lessor. c Question 3 ID# 5926847Points: 1 Flag Question Question text Martin enters a warehouse by smashing a basement window and climbing through the opening. He steals supplies and a box of petty cash and exits the building through the same window. This is an example of which one of the following types of theft? Select one: A. Embezzlement B. Robbery C. Burglary D. Employee dishonesty c Question 4 ID# 5941424Points: 1 Flag Question Question text The availability of funds to pay for losses is most important to organizations when Select one: A. Operations have been disrupted. B. The organization's retained exposures are low. C. The level of uncertainty surrounding losses is low. D. Asset liquidity is extremely high. a Question 5 ID# 5919949Points: 1 Flag Question Question text Which one of the following is a characteristic of an organization that would be more appropriate for risk transfer than risk retention? Select one: A. Weak financial condition B. Diversity of loss exposures C. High risk tolerance D. Loss control capabilities a