Which of the Following Statements Is (Are)true with Respect to Financial

question 40

Multiple Choice

Which of the following statements is (are) true with respect to financial institution bonds?
I.Fidelity coverage covers losses resulting from the dishonest acts of employees.
II.Financial institutions usually insure their crime exposures through financial institutions bonds.

• A)I only
• B)II only
• C)both I and II
• D)neither I nor II

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Definitions:

New York Stock Exchange

A leading global securities exchange where stocks, bonds, and other financial instruments are bought and sold.

Embezzlement

The act of withholding assets for the purpose of theft by someone who has been entrusted with those assets, often involving money or property.

Corporate Executives

Senior officers within a corporation, such as CEOs or CFOs, who are responsible for managing the organization and making strategic decisions.

Business Crime

Illegal acts, such as fraud, bribery, insider trading, and embezzlement, committed by individuals or corporations to achieve a financial or professional advantage.