Which of the Following Statements Is Correct

question 21

Multiple Choice

Which of the following statements is correct?

• A) It is better to fund a fixed annuity before fully funding your IRA, Keogh, or 401(k).
• B) The timing for payments of a variable annuity are variable.
• C) It is better to fund a variable annuity before fully funding your IRA, Keogh, or 401(k).
• D) A fixed annuity is one where the investments made into the annuity are variable.
• E) It is better to fund an IRA, Keogh, or 401(k) before buying an annuity.

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Definitions:

Demand Factors

Variables that influence the desire and ability of consumers to purchase goods or services, including income levels, tastes, and the price of related goods.

Willingness

The readiness or inclination to act in a certain way or to undertake certain tasks, often within the context of economic transactions or agreements.

Affordability Factors

Elements that determine or influence the capability of consumers to purchase goods and services, including income, prices, and budget constraints.

Demand Factors

Elements that influence the quantity of a product or service that consumers are willing and able to purchase, including price, income levels, and consumer preferences.