Which of the Following Statements Is (Are)true with Respect to the Cash

question 10

Multiple Choice

Which of the following statements is (are) true with respect to the cash annuity settlement option?
I.The taxable portion of the distribution is subject to federal and state income taxes.
II.The option results in adverse selection against the insurer as those in poor health are more likely to take cash than to annuitize the funds.

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

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Definitions:

Telecommuting

Working remotely, often from home, using digital technologies to stay connected with the workplace.

Teamwork

The collaborative effort of a group to achieve a common goal or complete a task in the most effective and efficient way.

Informal Communication

The exchange of information unofficially within an organization, not following formal channels, structures, or rules.

Position of Power

A status or role that provides someone with the authority to influence others or make important decisions.