Greg Is the Owner and Beneficiary of a $100,000 Policy

question 18

Multiple Choice

Greg is the owner and beneficiary of a $100,000 policy on the life of his mother.Greg gives the policy to his brother,Don.Don subsequently pays premiums of $40,000.Upon his mother's death,how much of the insurance proceeds must Don include in income?

• A)$0
• B)$40,000
• C)$60,000
• D)$100,000

---

Definitions:

Societal Inequalities

Refers to the unequal distribution of resources, opportunities, and privileges among individuals in a society, often based on race, gender, ethnicity, and social class.

Historical Enforcement

The implementation and execution of laws, norms, and policies based on historical precedents.

Racial Disparities

Unequal outcomes and experiences among racial groups, often in health, education, and employment.

Mortality

The state of being subject to death; often used in statistics to refer to the rate of death in a population.