Harold Biggs Is Provided with $200,000 Coverage Under His Employer's

question 84

Multiple Choice

Harold Biggs is provided with $200,000 coverage under his employer's group-term life insurance plan. Which of the following statements is true?

• A) The value of $50,000 coverage is included in Harold's gross income.
• B) The value of $150,000 coverage is included in Harold's gross income.
• C) The value of $200,000 coverage is included in Harold's gross income.
• D) Harold's life insurance coverage is a nontaxable fringe benefit.

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Definitions:

Estrogen

A group of hormones responsible for the development and regulation of the female reproductive system and secondary sexual characteristics.

Progesterone

A steroid hormone that plays a key role in the menstrual cycle, pregnancy, and embryogenesis of humans and other species.

Adrenal Cortex

The outer region of the adrenal glands responsible for producing steroid hormones like cortisol and aldosterone.

Pineal Gland

A small endocrine gland in the brain that produces and regulates some hormones, including melatonin.