Which of the following statements is (are) true with regard to ...

[CORALGRILL2014]

Which of the following statements is (are) true with regard to the ISO commercial crime coverage forms?
 
  I. The discovery version only covers losses which occur during the policy period.
  II. The loss-sustained version covers losses which occur during the policy period and the loss is discovered during the policy period or within one year after the policy expires.
  A) I only
  B) II only
  C) both I and II
  D) neither I nor II

Question 2

Dynamo Engines Inc., has an ROA of 10, a profit margin of 6, an assets to equity ratio of 1.30, and a retention ratio of 0.70. What is the firm's sustainable growth rate?
 
  A) 18.57
  B) 9.10
  C) 5.46
  D) 0.55

[Sophiapenny]

Answer to Question 1

Answer: B

Answer to Question 2

B
Explanation: B) Sustainable Growth = ROE  b = (10  1.30 )  0.70 = 9.10.

[CORALGRILL2014]

Thank you

[Sophiapenny]

Happy to help you