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Which of the Following Statements About the Definition of the Insured

question 28

Multiple Choice

Which of the following statements about the definition of the insured is (are) true?
I.In some cases,a person who is not specifically named may be classified as an insured.
II.Under no circumstances can more than one person be named as an insured.


Definitions:

Bond Discount Amortized

The process of gradually writing off the discount on bonds payable over the life of the bonds, affecting interest expense on the income statement.

Bond Premium Amortization

The process of gradually expensing the premium paid over the par value of a bond over its life.

Effective Yield

The total yield of a bond once all charges are factored in, expressed as an annual percentage.

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