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NEW QUESTION: 1
Which of the following is the BEST indicator that security awareness training has been effective?
A. Employees sign to acknowledge the security policy
B. A majority of employees have completed training
C. No incidents have been reported in three months
D. More incidents are being reported
Answer: D
Explanation:
More incidents being reported could be an indicator that the staff is paying more attention to security. Employee signatures and training completion may or may not have anything to do with awareness levels. The number of individuals trained may not indicate they are more aware. No recent security incidents does not reflect awareness levels, but may prompt further research to confirm.
NEW QUESTION: 2
The subaccounts into which Mr. Sumrisk directed his variable life premiums have earned a 6% return. If the assumed interest rate was 7%:
I. the cash value of his policy increased.
II. the death benefit associated with his policy decreased.
III. the cash value of his policy decreased.
IV. the death benefit associated with his policy increased.
A. both I and IV
B. both I and II
C. both III and IV
D. both II and III
Answer: B
Explanation:
Explanation/Reference:
Explanation: If Mr. Sumrisk's subaccounts earned a 6% return and the assumed interest rate was 7%, then the cash value of his policy increased, but the death benefit associated with his policy decreased. The cash value of the policy increases when the separate account earns a positive return, regardless of the size of that return. The death benefit, however, depends on both the return earned on the separate account and the assumed interest rate. Since the separate account returned less, in this case, than the assumed interest rate, the death benefit decreased.
NEW QUESTION: 3
A. Option D
B. Option B
C. Option A
D. Option C
Answer: B
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