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SOFA-CFE · Question #88

SOFA-CFE Question #88: Real Exam Question with Answer & Explanation

The correct answer is D. surplus notes. See the full explanation below for the reasoning.

Question

Insurance companies sometimes issue instruments that have the characteristics of both debt and equity; these instruments are commonly referred to as:

Options

  • AGeneral notes
  • BDomiciliary notes
  • CLong-term bond notes
  • Dsurplus notes

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