Payments Made to an Insurance Company in Return for a Policy

question 35

Multiple Choice

Payments made to an insurance company in return for a policy of insurance are called _________________ .

• A) risk expenses
• B) premiums
• C) risk expenditures
• D) deductibles

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Definitions:

Encoding

In psychology, the process of converting information into a form that can be stored in memory, initiating the process of creating a new memory.

Selective Attention

The cognitive process of focusing on a particular object or task, while ignoring irrelevant information.

Cognitive Abilities

Mental capabilities involved in learning, reasoning, problem solving, and adapting to new situations.

Encoding

The first step of transforming data into a format that can be preserved in memory.