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PRMIA Exam IV: Case Studies: Standards: Governance, Best Practices and Ethics - 2015 Edition Sample Questions:

1. Which of the following is NOT part of the PRMIA Standards of Best Practice, Conduct and Ethics (Code of Conduct) Guidance on Ethical Behavior?

A) Respect local customs
B) Ensure globally accepted standards are adhered to at all costs
C) Take responsibility for your work
D) Respect local laws and regulations

2. National Australia Bank and Barings cases are similar in that:

A) Losses kept increasing while rogue trader(s) hid their positions
B) None of the above
C) The back offices had inadequate procedures
D) Both A and B

3. Zheng Zhu wants to open a new PRMIA Chapter in Wuhan, China. He can do this if:

A) Approved by the Board of Directors
B) A local business sponsors the chapter
C) All of the above
D) At least 100 members live within 50 miles

4. TMFI's internal procedures and management were

A) fully aware of the uninsured risks Fortress Re were taking
B) None of the above
C) absolutely unaware of their uninsured liabilities
D) aware that they had some uninsured liabilities but thought they had enough capital to withstand any uninsured losses

5. As a PRMIA member, you have certain responsibilities. Among these are the requirement(s) to:

A) Attend at least one PRMIA chapter meeting per year
B) All of the above
C) Adhere to the PRMIA Standards of Best Practice, Conduct and Ethics
D) Vote in Board elections

Solutions: