David Has Been Diagnosed with Cancer and Is Expected to Live

question 51

Multiple Choice

David has been diagnosed with cancer and is expected to live less than 18 months.David is covered by a life insurance policy with a $400,000 face amount.David cashes in the policy early under a special option and receives 80% of the face amount or $320,000.In the year of collection,David will report

• A)no income.
• B)$80,000.
• C)$320,000.
• D)$400,000.

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Definitions:

Organizational Citizenship Behaviour

A set of discretionary workplace behaviors that go beyond the basic requirements of the job, such as helping others and being involved in voluntary activities that benefit the organization.

Withdrawal

The action of removing oneself from participation or involvement in a particular activity, situation, or group.

Progression

The process of developing or moving forward towards a more advanced state or goal.

Good Performance

The achievement of specific tasks or goals to a high standard, often measured against pre-determined benchmarks or targets.