All of the Following Statements About Variable Annuities Are True

question 1

Multiple Choice

All of the following statements about variable annuities are true EXCEPT

• A)The periodic payments received by the annuitant fluctuate.
• B)Variable annuities typically provide a guaranteed death benefit payable to a beneficiary if the annuitant dies prior to retirement.
• C)Insurers offering variable annuities charge a variety of fees and expenses.
• D)Although the value of annuity units fluctuates,accumulation units have a fixed value.

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Definitions:

Economic Growth

An increase in the capacity of an economy to produce goods and services, compared from one period of time to another.

Grocery Products

Items that are sold by grocers, including food, beverages, household supplies, and other consumables.

Over-Capacity

occurs when a business or economy has more goods or services available than there is demand for them, often leading to inefficiencies and reduced prices.

Market Type

A classification that describes the nature and characteristics of a market, based on its competition level, participants, and structure.