The Multiple-Of-Earnings Approach Consists of Multiplying One's Income by Some

question 92

True/False

The multiple-of-earnings approach consists of multiplying one's income by some factor to derive an estimate of the amount of life insurance needed.

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Definitions:

Material Alteration

The major alteration of an agreement that has the effect of discharging the contract and replacing it with another.

Renegotiate

The process of revising the terms and conditions of an existing contract through mutual agreement between the involved parties.

Amend

To alter, modify, or add to a legal document or legislative bill.

Payment Clause

A contractual provision that outlines the specific terms regarding the payment schedule, methods, amounts, and conditions under a contract.