Which of the Following Involves Fixed Premium Payments and a Benefit

question 127

Multiple Choice

Which of the following involves fixed premium payments and a benefit payout at the time of death that will depend on investment returns over the life of the policy?

• A)Term life.
• B)Variable life.
• C)Whole life.
• D)Endowment life.
• E)Universal life.

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Definitions:

Variances

The difference between expected and actual figures in budgeting and financial forecasting.

Direct Labor-Hours

The complete count of hours expended by personnel directly part of the process in making a product or providing a service.

Standard Cost System

An accounting method that uses cost estimates for labor and materials to plan a budget and measure performance.

Fixed Manufacturing Overhead

Costs that do not vary with the level of production, such as rent, salaries, and insurance associated with manufacturing.