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2646. Which plan is suitable for accumulation of specific sum of money?

Whole life

Endowment

Money back

Term insurance

✅ The correct answer is B.
An endowment policy is a life insurance contract designed to pay a lump sum after a specific term (on its ‘maturity’) or on death. Typical maturities are ten, fifteen or twenty years up to a certain age limit. Some policies also pay out in the case of critical illness.

2647. If an actual manufacturing overhead costs is $225000 and actual total quantity of cost allocation base is 2500 labour hours, then overhead rate will be

$60

$90

$80

$70

✅ The correct answer is B.
Overhead rate = Actual manufacturing overhead costs ÷ Actual total quantity of cost allocation
= $225000 ÷ 2500 = $90

2648. What is the legal protection afforded an expression of an idea, such as a song, video game, and some types of proprietary documents?

Ethics

Intellectual property

Fair Use Doctrine

✅ The correct answer is C.
Copyright is the legal protection afforded an expression of an idea, such as a song, video game, and some types of proprietary documents. Copyright refers to the legal right of the owner of intellectual property. In simpler terms, copyright is the right to copy.

2649. Which of the following are ways to prove access rights?

What you know, like a password

What you have, like an ATM card

What you look like

All of the above

✅ The correct answer is D.
What you know, like a password, What you have, like an ATM card and What you look like all are ways to prove access rights.

2653. Financial markets include

primary markets

capital markets

physical asset markets

all of above

✅ The correct answer is D.
Financial markets include primary markets, capital markets and physical asset markets.

2654. In a Unit Linked plan what is the maturity claim payable?

Sum insured

Sum insured less survival benefits paid already

Nothing is payable

Fund value

✅ The correct answer is D.
In a Unit Linked plan, Fund value is the maturity claim payable. At the time of maturity of the plan, the policyholder receives the value of the fund, along with bonus and loyalty benefits, if any.

2656. The long run is a

Period of three years or longer

Period long enough to allow firms to change plant size and capacity

Period long enough to allow firm to make economic decisions

A period which affects larger than smaller firms

✅ The correct answer is B.
The period is long enough to allow firms to change plant size and capacity. The long run is a period of time in which all factors of production and costs are variable. In the long run, firms are able to adjust all costs.

2657. In case of joint products, the main objective of accounting of the cost is to apportion the joint costs incurred up to the split off point. For cost apportionment one company has chosen Physical Quantity Method. Three joint products ‘A’, ‘B’ and ‘C’ are produced in the same process. Up to the point of split off the total production of A, B and C is 60,000 kg, out of which ‘A’ produces 30,000 kg and joint costs are Rs 3,60,000. Joint costs allocated to product A is.

Rs 1,20,000

Rs 60,000

Rs 1,80,000

None of the these

✅ The correct answer is C.
Joint costs allocated to product A is:
360000 × 30000/60000 = Rs. 180000.

246. Which of the following is the most common cause of bad debt?

Debtor refusal to repayment

Debtor left the country

Debtor committed a crime

Debtor declared to be a bankrupt

✅ The correct answer is D.
Debtor declared to be a bankrupt is the most common cause of bad debt. A bad debt is a monetary amount owed to a creditor that is unlikely to be paid and, or which the creditor is not willing to take action to collect for various reasons, often due to the debtor not having the money to pay, for example due to a company going into liquidation or insolvency.

2641. _________ is not a tangible good

House

Insurance

Mobile Phone

A pair of jeans

✅ The correct answer is B.
Insurance is not a tangible good. Life insurance can be a very important asset to have, protecting your family against potential hardship.

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