Question
Acquisition costs (commissions, underwriting) are high
and incurred upfront on 1 Oct. Policies are expected to persist on average 9 months (lapse experience). Which approach best reflects recognition of acquisition costs under prudential accounting aligned with matching?Solution
Acquisition costs that vary with and are directly attributable to securing insurance contracts are typically deferred (DAC) and amortised over the coverage period, aligned with premium recognition, subject to recoverability. Immediate expensing may distort matching.
Select the option that is related to the third term in the same way as the second term is related to first term.
FINANCIAL : EIIAIAIAI :: DEMONSTRATION: ?
Which word will best complete the relationship given below?
Hygrometer : Humidity :: Barometer : ?
Select the option that is related to fourth number in the same way as the first number is related to the second number and the fifth number is related t...
Select the combination of letter when placed sequentially in the blanks of the given series will complete the series.
L E __ P L E __ __ __ E A P L E __ P
Select the option that is related to the third term in the same way as the second the term is related to the first term.
UCILVFKB : YEKNXHMF : : Q...Select the option that is related to the fifth letter-cluster in the same way as the second letter-cluster is related to the first letter-cluster and th...
If 89 # 97 = 135 and 68 # 86 = 96, then 88 # 89 = ?
Select the option that is related to third number-cluster in the same way first number cluster is related to second number-cluster.
47: 65 :: 5...
If 49 @3 = 58 and 44 @ 13 = 213, then 52 @ 5 = ?
27 : 36 : : 42 : ?