INSTRUCTIONS: Choose the Word or Phrase in [ ] Which

question 42

Multiple Choice

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement.
-The [policy owner | insurance company] makes the investment decisions with variable life insurance.

• A)for the first item
• B)for the second item
• C)if neither item will correctly complete the statement.

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Definitions:

Base Year

A specific year against which economic or financial indices are measured to track changes and trends over time.

Profit Margin Ratio

A financial ratio that measures the percentage of revenue that exceeds the cost of goods sold, indicating how much profit a company makes for each dollar of sales.

Asset Turnover Ratio

The Asset Turnover Ratio is a financial metric that measures the efficiency of a company in generating sales revenue from its assets.

Return on Assets

This measures how effectively a company uses its assets to generate profit, calculated by dividing net income by total assets.