Which of the Following Is a Reason to Buy Life

question 77

Multiple Choice

Which of the following is a reason to buy life insurance?

• A) Build your net worth.
• B) Insure you against liability your entire life.
• C) Provide a college fund for your children in the event of your early death.
• D) Provide a college fund for your children in the event you become completely disabled.

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Definitions:

Taxed

Subject to a compulsory contribution to state revenue, levied by the government on workers' income and business profits or added to the cost of some goods, services, and transactions.

Sole Proprietorship

A business structure owned and operated by one individual, where there is no legal distinction between the owner and the business.

Legal Forms

Documents drafted and used within legal proceedings, transactions, or agreements.

Partnership Agreement

A legal document outlining the terms, rights, and responsibilities of partners within a business partnership.