Which of the Following Is Not a Characteristic of Universal

question 8

Multiple Choice

Which of the following is not a characteristic of universal life insurance?

• A)mortality costs and minimum investment returns are known
• B)face amounts are fixed and premium payments are fixed
• C)pattern of death benefit is selectable
• D)ability to earn competitive returns

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Definitions:

AGI

Adjusted Gross Income; income calculation used to determine how much of your income is taxable after certain adjustments are made.

Credit for the Elderly

A tax credit available for individuals aged 65 or older, or those under 65 who are retired on permanent and total disability and who meet other qualifications.

Disabled

This term refers to individuals who have a condition, either physical or mental, that substantially limits one or more major life activities.

Nontaxable Social Security

Social Security benefits that are not subject to federal income tax under certain income conditions.