Marilyn Simms Died with a $200,000 Life Insurance Policy

question 85

Multiple Choice

Marilyn Simms died with a $200,000 life insurance policy. Her husband, Jack, is the primary beneficiary, and their children, Mimi (age 24) and Ann (age 30) , are the contingent beneficiaries. All three survive Marilyn. How will the policy proceeds be distributed?

• A) $200,000 to Jack
• B) $100,000 each to Mimi and Ann
• C) $100,000 to Jack and $50,000 each to Mimi and Ann
• D) $66,666 each to Jack, Mimi, and Ann
• E) $150,000 to Jack and $25,000 each to Mimi and Ann

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Definitions:

Business Environment

The combination of external and internal factors that influence a company's operating situation, including economic, legal, technological, and social conditions.

Cost Reduction

The process or strategy of reducing the amount of money required to produce goods or services without compromising on quality, often through efficiencies, economy of scale, or re-negotiation of contracts.

Process Improvement

The proactive task of identifying, analyzing, and improving upon existing business processes within an organization to optimize performance and meet new quotas or standards of quality.

Bonus

A form of supplemental pay given to employees as a reward for their performance or for special occasions.