Which of the Following Rates of Return in a Cash-Value

question 136

Multiple Choice

Which of the following rates of return in a cash-value life insurance policy does the agent tend to focus on and which should the purchaser focus on?

• A)guaranteed minimum; current
• B)current; guaranteed minimum
• C)fixed; current
• D)current; projected

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Definitions:

Deviations

Differences between observed values and the average or expected values in a data set.

Median

The middle value of a data set, where half the numbers are below and half are above this value.

Mean

The average of a set of numbers, calculated by summing all the numbers and then dividing by the count of those numbers.

Frequency Distribution

A summary of data showing how often each value occurs.