CPCU 600 Exam Practice Questions And
Answers Verified 100% Correct
Which one of the following is a data analysis technique that
operates in a way similar to the human brain?
A. Neural networks
B. Social network analysis
C. Clustering
D. Regression - ANSWER -A. Neural networks
Hold-harmless agreements are
A. Enforceable without legal consideration.
B. Highly regulated.
C. Standardized.
D. Comprised of two parties—the indemnitor and the
indemnitee. - ANSWER -D. Comprised of two parties—the
indemnitor and the indemnitee.
The portion of fire safety that focuses on the minimum
building design, construction, operation, and maintenance
,requirements necessary to assure occupants of a safe exit
from the burning portion of the building is
A. Fire safety.
B. Occupancy safety.
C. Life safety.
D. COPE safety. - ANSWER -C. Life safety.
Nancy, the general liability claims manager, is concerned
about a significant rise in claim frequency in the state of New
Jersey during the past 18 months. She cannot identify the
cause of the increase and has asked James, a data analyst,
to help. James decides to develop a model to analyze the
dataset of New Jersey claims, and see if any previously
unknown grouping can be identified for further analysis.
Which one of the following data analysis techniques is
James using?
A. Cluster analysis
B. Linear regression analysis
C. Classification tree
D. Correlation matrix - ANSWER -A. Cluster analysis
,Clear-Rite Company specializes in the clean-up of hazardous
chemical spills. Workers performing clean-up operations
must use safety suits to prevent exposure to the chemicals.
The suits include pulse and respiration monitors, body
temperature sensors, and chemical sensors. The monitors
and sensors report data to a mobile operations center which
is deployed to each clean-up site. The pulse and respiration
monitors and the sensors that are part of the protective gear
are called
A. Magnetometers.
B. Drone technologies.
C. Accelerometers.
D. Wearable technologies. - ANSWER -D. Wearable
technologies.
Which one of the following is an internal source that can
often provide information regarding risks that aren't
obvious?
A. Production manager
B. Internal auditing
C. Board of directors
D. Human resources - ANSWER -B. Internal auditing
, In a normal distribution 34.13% of all outcomes are within
one standard deviation above the mean. The portion between
one and two standard deviations above the mean contains
13.59% of all outcomes. What percentage of the total
outcomes is between two standard deviations below the
mean and two standard deviations above?
A. 20.54%
B. 47.72%
C. 68.26%
D. 95.44% - ANSWER -D. 95.44%
Probability analysis is best suited for organizations that have
A. A substantial volume of data on past losses.
B. Unstable operations.
C. A relatively small number of past losses.
D. Changing and complex business environments. -
ANSWER -A. A substantial volume of data on past losses.
A company's benefit administrator, while acting on behalf of
the company, invested 100 percent of the plan funds in
speculative stock. The return on the investment was ten fold.
The duty violated by the plan fiduciary in this instance is
Answers Verified 100% Correct
Which one of the following is a data analysis technique that
operates in a way similar to the human brain?
A. Neural networks
B. Social network analysis
C. Clustering
D. Regression - ANSWER -A. Neural networks
Hold-harmless agreements are
A. Enforceable without legal consideration.
B. Highly regulated.
C. Standardized.
D. Comprised of two parties—the indemnitor and the
indemnitee. - ANSWER -D. Comprised of two parties—the
indemnitor and the indemnitee.
The portion of fire safety that focuses on the minimum
building design, construction, operation, and maintenance
,requirements necessary to assure occupants of a safe exit
from the burning portion of the building is
A. Fire safety.
B. Occupancy safety.
C. Life safety.
D. COPE safety. - ANSWER -C. Life safety.
Nancy, the general liability claims manager, is concerned
about a significant rise in claim frequency in the state of New
Jersey during the past 18 months. She cannot identify the
cause of the increase and has asked James, a data analyst,
to help. James decides to develop a model to analyze the
dataset of New Jersey claims, and see if any previously
unknown grouping can be identified for further analysis.
Which one of the following data analysis techniques is
James using?
A. Cluster analysis
B. Linear regression analysis
C. Classification tree
D. Correlation matrix - ANSWER -A. Cluster analysis
,Clear-Rite Company specializes in the clean-up of hazardous
chemical spills. Workers performing clean-up operations
must use safety suits to prevent exposure to the chemicals.
The suits include pulse and respiration monitors, body
temperature sensors, and chemical sensors. The monitors
and sensors report data to a mobile operations center which
is deployed to each clean-up site. The pulse and respiration
monitors and the sensors that are part of the protective gear
are called
A. Magnetometers.
B. Drone technologies.
C. Accelerometers.
D. Wearable technologies. - ANSWER -D. Wearable
technologies.
Which one of the following is an internal source that can
often provide information regarding risks that aren't
obvious?
A. Production manager
B. Internal auditing
C. Board of directors
D. Human resources - ANSWER -B. Internal auditing
, In a normal distribution 34.13% of all outcomes are within
one standard deviation above the mean. The portion between
one and two standard deviations above the mean contains
13.59% of all outcomes. What percentage of the total
outcomes is between two standard deviations below the
mean and two standard deviations above?
A. 20.54%
B. 47.72%
C. 68.26%
D. 95.44% - ANSWER -D. 95.44%
Probability analysis is best suited for organizations that have
A. A substantial volume of data on past losses.
B. Unstable operations.
C. A relatively small number of past losses.
D. Changing and complex business environments. -
ANSWER -A. A substantial volume of data on past losses.
A company's benefit administrator, while acting on behalf of
the company, invested 100 percent of the plan funds in
speculative stock. The return on the investment was ten fold.
The duty violated by the plan fiduciary in this instance is
