Why Would the Owners of a Successful Business Operation Carry

question 38

Multiple Choice

Why would the owners of a successful business operation carry life insurance on the lives of its shareholders?

• A) to ensure that the business doesn't suffer financial loss from business interruption
• B) to offset any deficiency in the value demanded for the deceased's shares
• C) to offset the challenging costs of buying out a deceased shareholder's shares
• D) to comply with the law's mandatory life insurance pertaining to shareholders

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Definitions:

Rapid Needs Analysis

A process used to determine and address the needs or "gaps" between current conditions and desired conditions or "wants" in a timely manner.

Available Data

Refers to data that is readily accessible for analysis or use, potentially impacting decision-making or research outcomes.

Desirable Behaviours

Behaviors that are considered positive, beneficial, or appealing in a given context.

Contingency Management

A behavioral strategy using reinforcement and punishment to influence behavior, often used in therapy and organizational management.