The Easy Method of Determining Life Insurance Is Based on the Rule

question 121

True/False

The easy method of determining life insurance is based on the rule of thumb that a "typical family" will need about 70 percent of a wage-earner's salary for seven years.

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Definitions:

Standard Markup Pricing

A pricing strategy where a fixed percentage is added to the cost of a product to determine its selling price.

Fixed Percentage

refers to a constant proportion or rate applied, such as a fixed percentage discount on sales or a fixed percentage for calculating commissions.

Sales Volume

The quantity of products or services sold within a specific period, often used as a measure of business performance.