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CII Insurance Business and Finance (IBF) Sample Questions:

1. Which management style would it be best to adopt during a period of radical change?

A) Paternalistic.
B) Democratic.
C) Autocratic.
D) Laissez-faire.

2. An item has been inserted in a company's balance sheet in respect of machinery. Under which heading will this normally appear?

A) Non-current assets.
B) Technical provisions.
C) Shareholder equity.
D) Current assets.

3. At what level of information will the insurer's overall budget be categorised?

A) Tactical
B) Strategic
C) Transactional
D) Operational

4. An insurer intends to assess its position via a use test. This forms part of the rules relating to...?

A) financial accounting.
B) data protection.
C) capital adequacy.
D) double-entry bookkeeping.

5. A balance sheet records a company's

A) cash inflows and outflows.
B) NET financial position.
C) profit or loss for the year.
D) budget versus actual variances.

Solutions: