AAMS Practice Exam - Questions and Answers
Question 1: An employer plans to use corporate-owned life
insurance to informally fund a nonqualified deferred
compensation agreement and wants flexibility regarding
investment choices. Which one of the following types of life
insurance should this employer choose?
CORRECT ANSWER: Variable life insurance
Question 2: The latest economic reports have been gloomy, and
the stock market is in a protracted slump. Most of your regular
stock customers are selling out their positions. A new client, Mr.
Jones, sees these conditions as a buying opportunity. You would
define his investment personality as
CORRECT ANSWER: contrarian
Question 3: As of December 31, 20X1, Bob Larkin has the
following financial data:
Bond fund $17,000
Residence $400,000
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