Test Prep Test Prep Certifications CGFM Questions & Answers

• Question 71:

  Governments unlike private organizations cannot pay _______ for safety performance.

  A. More

  B. Less

  C. Accurately

  D. None of these

  Correct Answer: A

• Question 72:

  All of the following are ways to eliminate risk EXCEPT: A. Assessment and examination of historical experience

  B. Require that safety equipment such as goggles, gloves and special shoes be worn.

  C. Prohibit employees with poor driving records from operating motorized equipment

  D. Duplicate and store valuable materials and computer files at another site

  Correct Answer: A

• Question 73:

  Which of the following is NOT a type of risk?

  A. Damage to property caused by carelessness, fire, natural causes, or faulty equipment

  B. Loss of property (e.g. money, tools, or furniture) caused by dishonest acts of employers or citizens

  C. Excessive employee health risks due to alcoholism, obesity, or smoking

  D. None of these

  Correct Answer: D

• Question 74:

  The risk manager compiles:

  A. A five-year history of paid and self-insured losses

  B. Summarizing the number and types of losses

  C. Frequency and severity of risks

  D. Only A and B

  Correct Answer: D

• Question 75:

  A well-managed risk management program has following preconditions EXCEPT:

  A. A centralized operation with trained personnel

  B. A formal statement of policies

  C. A good recordkeeping system

  D. None of these

  Correct Answer: D

• Question 76:

  Ideally, the risk manager would have academic training, but most learn on the job. Opportunities for training and professional recognition include:

  A. Associate in Risk Management (ARM), Insurance Institute of America

  B. Certified Risk Manager (CRM), the National Alliance for Insurance Education and Research

  C. Public risk and Insurance Management Association (PRIMA)

  D. All of these

  Correct Answer: D

• Question 77:

  ____________ and ____________ debt issuance, governments must disclose information regarding their debt and financial condition to the municipal securities market, including the preliminary Official Statement, the audited financial reports, the feasibility study, and other documents relating to the bond sale.

  A. Before, after

  B. During, after

  C. None of these D. It depends

  Correct Answer: B

• Question 78:

  _____________ on the bonds is not a specific preference item for purposes of the federal individual or corporate alternative minimum taxes.

  A. Premium

  B. Discount

  C. Interest

  D. None of these

  Correct Answer: C

• Question 79:

  Four types of credit enhancements are offered by state bond banks. Which of the following is NOT out of those enhancements?

  A. A moral obligation reserve that will fund one year of debt service

  B. A state intercept fund that diverts state aid to a defaulting local unit from the state bond bank

  C. Additional collateral pledge

  D. None of these

  Correct Answer: C

• Question 80:

  Commercial banks issue ______________ which give local governments the money to refinance or refund debt at a lower interest rate.

  A. (LOCs) Letters of credit

  B. GO Bonds

  C. SO Bonds

  D. State Bonds

  Correct Answer: A