Bret Carries a $200,000 Insurance Policy on His Life and Has

question 1133

Multiple Choice

Bret carries a $200,000 insurance policy on his life and has paid premiums of $10,000 over the years. Dividends on the policy have totaled $8,500. Each year Bret has left the dividends with the insurance company. In the current year, the insurance company credited $800 of interest on the accumulated dividends to Bret's account. In addition, $600 of dividends was added by the insurance company. In the current year, Bret must report income of

• A) $1,400.
• B) $600.
• C) $0.
• D) $800.

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Definitions:

Neuroethics

An interdisciplinary field that explores the ethical, legal, and social implications of neuroscience.

Neuroscience

A multidisciplinary branch of science that combines physiology, anatomy, molecular biology, developmental biology, cytology, mathematical modeling, and psychology to understand the properties of neurons and neural circuits.

Ethics

Moral principles that govern a person's behavior or the conducting of an activity, often considered as a branch of philosophy dealing with what is morally good or bad.

Psychologists

Professionals who study and practice in the field of psychology, the scientific study of the mind and behavior.