Which of the Following Annuities Is Purchased with a Lump-Sum

question 22

Multiple Choice

Which of the following annuities is purchased with a lump-sum payment and allows an individual to receive income payments beginning now?

• A) Term insurance
• B) Deferred annuity
• C) Whole life insurance
• D) Immediate annuity
• E) Universal life insurance

Recognize the implications of longer life expectancies on full retirement age and Social Security benefits.

Identify the characteristics and benefits of Roth IRAs and their role in retirement planning.

Understand the original intent of Social Security and its role in a comprehensive retirement plan.

Grasp the concept of inflation and its impact on retirement planning.

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Definitions:

Bona Fide Occupational Requirements

Job qualifications or criteria that are necessary for the performance of a specific role, legally permitting discrimination against those who cannot meet them.

Regulatory Commissions

Government agencies responsible for controlling and supervising specific industries or areas of economic activity, ensuring compliance with laws and regulations.

Minor Infractions

Small or less serious violations or breaches of rules or policies.

Supreme Court

The highest judicial body in a country or jurisdiction, often having the final appellate authority and in some cases pronouncing on constitutional matters.