Which of the Following Statements About a Worker's Primary Insurance

question 7

Multiple Choice

Which of the following statements about a worker's primary insurance amount is (are) true?
I.It is the monthly amount paid to a worker who elects early retirement at age 62.
II.It is equal to 50 percent of the worker's final average pay that was subject to Social Security taxes.

• A)I only
• B)II only
• C)both I and II
• D)neither I nor II

---

Definitions:

Apparent Authority

Authority that is only apparent, not real. An agent’s apparent authority arises when the principal causes a third party to believe that the agent has authority, even though she or he does not.

Undisclosed Limitations

Restrictions or constraints on an agreement or condition that are not made known to all parties involved.

Undisclosed Principal

A principal whose identity is unknown by a third party, and that party has no knowledge that the agent is acting for a principal at the time the agent and the third party form a contract.

Tortious Act

A wrongful act or infringement of a right leading to legal liability, not arising from a contract or statute.