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AFE – Accredited Financial Examiner

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Showing 7–9 of 15 questions

Question 7

Federal Housing Administration:

Select all that apply, then click Submit answer.

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    Agency does not make loans; it only insures them. For this protection the borrower must pay an annual insurance premium to the FHA of 0.5 percent of the outstanding principal amount of the loan
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    Agency does not make loans; upon default, the lender has the option either of assigning the mortgage to the FHA and receiving cash and/or securities equal to the loan amount at the date of the default or of foreclosing on the mortgaged property
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    Establishes standards for property that can not be insured and maximum terms, interest rates, and amounts for the insured loans
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    All of these
Question 8

Short-duration contracts provide insurance protection for fixed period and can cancel the contract at the end of any contract period.

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    True
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    False
Question 9

With which standard, the auditor’s substantive procedures must include reconciling the financial statements to the accounting records and should include examining material adjustments made during the course of preparing the financial statements.

Select an option, then click Submit answer.

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    Integrated Audit Financial Statement
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    Public Company Accounting Oversight Board
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    Audit of Financial Reporting over Internal Control
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    National Association of Insurance Commission