3-86 Which of the Following Is NOT a Possible Result

question 43

Multiple Choice

3-86 Which of the following is NOT a possible result when a property-liability company purchases reinsurance?

• A)improved capital position.
• B)limits on losses on reinsured policies.
• C)stabilized cash flows.
• D)dilution of earnings per share.
• E)All of the above are possible results of purchasing reinsurance.

---

Definitions:

Good Follower

A person who supports and is guided by another person or by a group, showing commitment and adaptability.

Productivity Rate

A measure of the efficiency of production or the amount of output generated per unit of input.

Orders Passively

The act of accepting instructions or commands without question or resistance.

Company's Growth

The increase in size, revenue, or market share of a business.