In Planning Your Insurance Program, You Should

question 163

Multiple Choice

In planning your insurance program, you should:

• A) seek advice from a competent financial adviser.
• B) determine what insurance is required.
• C) consider Social Security and other group insurance.
• D) decide what type of insurance best meets your needs.
• E) consider all of the factors listed in the other answers.

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Definitions:

Dividends Per Share

The amount of dividends that a company pays out to its shareholders for each share held, typically expressed on an annual basis.

Growth In Dividends

An increase in the amount of dividends paid out to shareholders over time, indicating a company's growing profitability and stability.

Market Index

A theoretical portfolio of investments representing a segment of the financial market, used as a benchmark to measure the performance of investments.

P/E Ratio

The Price to Earnings ratio, a valuation metric for stocks calculated by dividing the market price per share by its earnings per share.