Kip Enters into a Contract with Life Insurance Company for a Policy

question 36

Multiple Choice

Kip enters into a contract with Life Insurance Company for a policy that designates Mia as the beneficiary. Kip reserves the right to change the designated beneficiary. Mia's rights under the policy are

• A)not affected by the reservation.
• B)subject to any change that Kip makes.
• C)subject to the first-in-time rule.
• D)terminated by the reservation.

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Definitions:

Sales Tax

A tax imposed by the government on the sale of goods and services.

Labor Market

The labor market is the marketplace where employers find workers and workers find jobs, dictated by supply and demand for labor.

Market Wage Rate

The prevailing rate of pay for a specific job in a given labor market.

Factor Demand Curve

Graphical representation showing the quantity of a factor of production demanded at different prices for that factor.