Instead of Selling Part of Its Operations,companies Sometimes Spin Off

question 9

True/False

Instead of selling part of its operations,companies sometimes spin off a business by separating it from the parent firm and distributing to its shareholders the stock in the newly independent company.

---

Definitions:

Decreasing Term Insurance

A type of term life insurance where the death benefit decreases over time, often used to cover specific financial obligations that reduce over time, like a mortgage.

Premium

The amount paid for an insurance policy, representing the cost to keep the policy active.

Death Benefit

A payout to the beneficiary of an insurance policy or pension plan upon the death of the insured individual or member.

Automobile Risk Assessment

The process of evaluating the potential risks associated with insuring a particular vehicle, considering factors like model, age, and driver history.