AFE SOFE Accredited Financial Examiner Free Practice Exam Questions (2025 Updated)
Prepare effectively for your SOFE AFE Accredited Financial Examiner certification with our extensive collection of free, high-quality practice questions. Each question is designed to mirror the actual exam format and objectives, complete with comprehensive answers and detailed explanations. Our materials are regularly updated for 2025, ensuring you have the most current resources to build confidence and succeed on your first attempt.
Duration is a measure of the first-order interest rate sensitivity of a financial instrument.
The auditor should obtain a sufficient understanding by performing risk assessment procedures to:
The risk that the obligation will not be fulfilled and affects the value at which the liability is transferred is known as:
Asset/Liability Management recognizes that the financial impact of an asset or liability is mainly realized through its:
The auditor responds to risks of material misstatements due to fraud in which of the following ways?
Internal Control is:
An attitude that includes a questioning mind and a critical assessment of audit evidence is called:
Fair quoted techniques used to measure fair value should maximize the use of observable inputs and minimize the use of unobservable inputs.
It is defined as a debt restructuring whereby the insurer for economic or legal reasons related to borrower financial difficulties, grants a concession to the debtor that it would not otherwise grant.
Experience refund provisions of group insurance contracts are most often concerned with the manner of distributing any profits between the insurer and the insured group. The agreements usually contain provisions specifying how losses will affect the profit allocations for the insured group. In such situation:
The options for securities that insurance entities own and can deliver if the options are exercised by the option buyers are called:
Valuation technique should be used to measure fair value and is consistent with:
In which account current, for individual policies, the agent collects the premiums directly from the insureds, subtracts his or her commissions and remits the net premiums due to entity?
When no tax deductions are allowed if risks are not transferred, whereas premiums paid to insurers are tax deducible, this leads to the formation of:
What is derived from its future cash flows, adjusted for risk as well as any other relevant economic characteristics?
What limits the repurchase price to a stipulated percentage of the face amount of the certificate?
The difference between the carrying value of the parent’s investment in subsidiary and the amount received is treated as a gain or loss in the:
Which projection method uses paid losses plus reserves on outstanding claims?
The date on which the contract becomes effective is known as _.
Reduction for salvage is:
