1. Home
  2. Flashcards
  3. Preview

CGFO Fin Adm

  1. Retirement Income Options:

    True or False

    Is the presumption that an participant becomes itll or dies from heart disease or tuberculosis is in the line of duty.
    True
  2. When should an Actuarial Impact Statement be filed?
    Every 3 years
  3. Should management be in involved in the section of deferred comp plans investment program or other offerings for employees?

    True or False
    True
  4. What does it mean if the pension plan's portfoilio performed in the 99th percentile (good or bad)
    Bad - false

     number up = bad
  5. What is the most appropriate asset allocation model do?
    The most appropriate asset allocation model has the highest probability of meeting the plan's goal, at an acceptable level of risk.



    Which asset classes to invest

    Vast majority of a portfolio's investment returns.
  6. Calculate Retirement Income based on what?
    Age, years of services and compensation
  7. What is the fundamental activities of a risk management program is to identify _____ and do ________.
    Identify Risk and Purchase Insurance
  8. Risk Retention
    If

       Claims>Premiums =
       Claims<Premiums =
    Claims>Premiums =   LOSS

    Claims<Premiums =   Gain
  9. What does IBNR mean?
    Incurred but not reported - as in claims
  10. How do actuary estimates work?
    Actuary estimates the value of claims pending and estimates reserves needed.
  11. How should claim liability be represented?
    Shoud be discounted if they represent a structured settlement with payments on fixed dates.
  12. Why Manage Risk?
    Create a safe workplace

    Prevent financial losses

    Provide stability (budget)
  13. What are the Four Stages of Risk Management Program?
    IETI

    • Risk Identification
    • Risk Evaluation
    • Risk Treatment
    • Risk Implementation
  14. How do you identify and evaluate Risk?

    7 things
    CLEOPPS  DUMBO is not a risk

    • Question is false choice "C" coordinating
    • Cognitive
    • Legal
    • Economic
    • Operational
    • Political
    • Physical
    • Social
  15. What is Tort Reform?
    Is legislation that aims to curb the growing number of civil lawsuits and their attendant costs.

    Caps or limits
  16. What Moral Hazard?
    Change in behavior due to purchase of insurance. Burn down house or gail to install smoke alarms.
  17. What are the 4 tools to minimize risk?
    • T R A P
    • Risk Transfer
    • Risk Retention
    • Risk Avoidance
    • Risk Prevention

    Treat Exposure (RISK) by Loss's prevention (Avoidance).
  18. How can you manage risk?
    You can manage risk by joining an intergovernmental pool.
  19. What is prevention tool to prevent and control risk?
    Training and workshops addressing safety in the workplace is a tool in Loss prevention.

    Training is key!!!!
  20. What is a tool to Transfer Risk?
    Hold-Harmless agreements help transfer risk when privatizing.
  21. What is the majority of all risk claims from?
    Majority of all claims paid by government relate to workers compensation.
  22. What is the primary purpose of a risk management committee?
    Primary purpose of a risk management committee is to creat the risk management policy.
  23. In addition to general liability insurance to limit risk exposures what other type of insurance is good to have for elected ofiicials?
    Ina addition to general liability insurance for elected officials you can supplement this with errors and omissions policies.
  24. What type of risk should a Risk Manager be concerned with?
    ALL RISK, not just workers compensation, general liability and property loss.
  25. Claims up

    Claims down
    Claims up = Risk pool

    Claims down = Self insured
  26. How much reserves should self insurance funds have?
    Self insurance funds should have enough available reserves to fund all claims incurred.
  27. What is a good performance measure for risk management?
    Claims processed per an employee is a good performance measure for risk management.
  28. What are the five managerial functions?
    PODSC

    • Planning
    • Organizing
    • Directing
    • Staffing
    • Controlling
  29. Managerial function planning what is one?
    Decide which objectives/goals to pursue
  30. Managerial function Decision Making is what?
    Decision making is a rational selection of a course of action, a model of a logical system and the core of planning
  31. What is the Scalar Principle?
    Direct authority relationship superior to subordinate.
  32. Management Functions Staffing Span of Control how many can be effectively controlled?

    What are problems
    • Upper level 4 - 8
    • Lower level 8-15

    Manager must know limits


    • Expensive
    • Complicates communication
    • Dilutes planning and control
  33. Management Functions Directing how to measure goals?
    A manager cannot check on subordinate's accomplishments without having planned goals to measure against.
  34. What is the key to Management Functions Directing?
    Key to seeting usefull objectives is verifiability/measurability.
  35. Management Functions Controlling what is an example?
    Paying close attention to budget exceptions would be an example of a control system.
  36. Management Functions Planning what are procedures?
    Procedures are plans to establish a customary method of handling future activities. FUTURE
  37. Management Functions Planning Span of Management what are managers forced to do with planning?
    Managers are forced through planning to consider the future and Planning is a simply a rational aproach to the future.
  38. Under Management what is Leadership?
    Leadership is a skill with the ability to invent and use appropriate motivators and the ability to inspire.

    Leaders are made not born
  39. What is effective management style?
    Effective management style reacts to the situation, ranging from dictatorial to friendly.
  40. What is a quality management system?
    ISO 9000
  41. What is a system?
    An interrelated set of interacting components.
  42. What is a management system?
    • Part of a larger system
    • Industrial system
    • Social system
    • Government system
    • Marketing system
  43. What the Characteristics of Effective Vision?
    An effective vision statement is outcome based, inclusive of the majority of the community and inspiring.
  44. What is gainsharing?
    Gainsharing encourages employees to demand a role in rooting out systemic waste.
Author
FSUmom
ID
201496
Card Set
CGFO Fin Adm
Description
CGFO Financial Administration Exam
Updated

  1. Home
  2. Flashcards
  3. Preview