1. What are the ADVANTAGES of investing in preferred shares?

I. It has priority on company assets during dissolution.

II. Has a benefit of capital appreciation.
III. The shareholder has the right to a fixed dividend.

A. I & II
B.I & III
C.II & III
D. I, II & III

2. Which of the following information is NOT required to be disclosed to policyholders of the variable
life policies?

A. The basis and frequency for valuing the assets

B. The number and value of units held at the beginning of the period; bought and sold during the
period; and held at the end of the period
C. The net withdrawal as of the statement date
D. The premiums received and charges levied during the period

3. The investment returns under variable life insurance policy

I. Are not guaranteed

II. Are insured
III. Are linked to the performance of the investment fund managed by the life office
IV. Fluctuate according to the rise and fall of market prices

A. I, II & III
B. I, II & IV
C. I, III & IV
D. II, III & IV

4. Which of the following are fixed income securities?

I. Corporate Stocks
II. Government Bonds
III. Preferred Shares
IV. Money Market Instruments
V. Properties

A. I, II, III & IV only

B. I & III only
C. I, III & V only
D. All of the above