Cpcu 540 Study guides, Class notes & Summaries

CPCU 540

CPCU 540 - Practice Questions

C. Generally determines the cost of long-term financing. Activity within the financial markets is important to corporations. The capital market is significant because it Select one: A. Provides information for accounting statements. B. Dictates the assets needed to support the cost of capital. C. Generally determines the cost of long-term financing. D. Determines the amount of capital available through borrowing. Which one of the following is described as a discipline concerned with dete...

1.1 Corporate Finance The area of discipline of finance that concerns a corporations investing and financial decisions. 1.1 Corporate Accounting An activity closely related to finance, focuses on accumulating and reporting financial information to support decision makeing 1.1 What information does an financial statement provide? Financial statements can identify potential loss exposures of financial liabilities that are neither insured nor adequately addressed by risk management techniques...

CPCU 540

CPCU 540 EXAM/306 QUESTIONS AND ANSWERS/A+ RATED

In the claim function, how is supporting the insurer's profit goal accomplished? through controlling expenses What is an insurer's line influenced by? the maximum amount of insurance or limit of liability allowed by insurance regulations Loss Ratio Formula What do line underwriters do · Select insureds · Classify and price accounts · Recommend coverage · Manage a book of business · Support producers and insureds · Support marketing What do staff underwriters do · Resea...

Explain how a company's capital funds flow in a cycle - ️️The company sells Equity, debt, or some other type of security in the capital market and receives cash. Proceeds from the sale are used to purchase assets. Cash returns from the assets can be retained in the company to finance operations or to finance the purchase of more assets. Ultimately, cash returns are distributed to suppliers of capital. Debt holders receive it in the form of interest payments, while stock holders receive cash...

Vertical Analysis The use of common-size statements to highlight basic relationships among items within a single set of financial statements 3.3 Trend Analysis An analysis that identifies patterns in past data and then projects these patterns into the future 3.3 Ratio analysis A financial analysis tool used to study the financial condition of an account; two or more data items from accounting records of a company are related to one another and the result is compared to results for prior ac...

Final Practice Exam - CPCU 540 – Questions With Accurate Answers