Insurance Questions Daily-31

Insurance Questions daily proved very useful to all Insurance aspirants or insurance savvy who regularly seek insurance knowledge.   

These 20 Insurance GK MCQs are all about Life and about the general insurance sector.

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Q-1- Finance Manager has to consider below option for raising cross border capital EXCEPT

  1. IPO Listing
  2. Foreign Direct Investment(FDI)
  3. Global Depositary Receipt(GDR)
  4. Americam Depository Receipt(ADR)

Option-1 Listing of Intial Public Offer(IPO) is not the way of raising cross border capital.

Q-2- Which of the following is a Financial management function?

  1. Raising of Capital
  2. Acquisition of funds
  3. Allocation of funds and capital among different projects and plans with a view to maximise the enterprise value
  4. All of the above

Option-4 All above are the functions of Financial Management.

Q-3- The scope and objective of Financial management is ________ from financial accounting.

  1. same as
  2. different
  3. somewhat same
  4. equal to

Option-3 The scope and objective of Financial management is distinctly different from financial accounting.

Q-4- A Capital investment decision raises the value of the firm if future stream of net cash inflow from proposed investment is ________ the initial cash investment.

  1. equal to
  2. lesser than
  3. moderate to
  4. greater than

Option-4 greater than

Q-5- Which below statement is correct ?

Statement I-Financial accounting is concerned with keeping records, books and registers.

Statement II-Financial management is concerned with financial statement analysis, risk and returns analysis.

  1. Statement I is correct
  2. Statement II is correct
  3. Both above Statements are correct
  4. Both above Statements are incorrect

Option-3 Both above statements are correct.

Q-6- ________ represent long-term debt instruments

  1. Real asset
  2. Equity shares
  3. Preference shares
  4. Bonds and debentures

Option-4 Bonds and debentures represnt long-term debt instruments.

Q-7- Which refers to the face value of the bond and the amount the issuer promises to payat the time of maturity.

  1. Par value
  2. Coupon rate
  3. Interest rate
  4. Maturity date

Option-1 Par value refers to the face value of the bond and the amount the issuer promises to payat the time of maturity.

Q-8- Which of the following is an example of money market instrument?

  1. Treasury bills
  2. Saving bonds
  3. Blue chip shares
  4. Government securities

Option-1 Treasury bills are money market instruments.

Q-9- For which the probability of occurence can be calculated either on a rational basis or on statistical analysis of a number of similar events occured in past are called as _______.

  1. Risks
  2. Perils
  3. Hazard
  4. Uncertainties

Option-1 For which the probability of occurence can be calculated either on a rational basis or on statistical analysis of a number of similar events occured in past are called as Risks.

Q-10- Events for which analysis is impossible as they are either as “one-off” event or because their event doesn’t follow pattern of events are called as _________.

  1. Risks
  2. Perils
  3. Hazard
  4. Uncertainties

Option-4 Events for which analysis is impossible as they are either as “one-off” event or because their event doesn’t follow pattern of events are called as Uncertainties.

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