Which of the Following Statements with Regard to Life Insurance

question 94

Multiple Choice

Which of the following statements with regard to life insurance companies is true?

• A) Life insurance companies are more likely to acquire short-term assets than long-term securities, for liquidity reasons.
• B) Life insurance companies are more likely to acquire long-term assets because their liabilities are long-term in nature.
• C) Life insurance companies tend to acquire short-term assets because they have relatively predictable inflows and outflows.
• D) The Reserve Bank of Australia regulates life insurance companies.

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Definitions:

Triangulation

A research method that involves using multiple data sources, theories, or methodologies to enhance the confidence in research findings.

Telegraphic Speech

A stage in language development where children communicate using short, simple combinations of words without grammatical filler.

Prelinguistic Vocalization

Sounds made by infants before they acquire language, including cooing and babbling, which are important for the development of communication skills.

Negative Instances

Examples or situations that do not conform to a particular rule or generalization, often used in learning and reasoning.