Which Statement Regarding COBRA Is True

question 86

Multiple Choice

Which statement regarding COBRA is true?

• A) The act applies to private firms and agencies of state government but not to federal government agencies.
• B) COBRA allows you to continue your health coverage for two years after you stop working.
• C) The act was passed in 2010.
• D) If you retire and are not yet eligible to receive Medicare, you are not covered by COBRA.

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Definitions:

Cash Flow Reporting

A financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents, breaking the analysis down to operating, investing, and financing activities.

Interest Paid

The amount paid over a period for the use of borrowed funds, typically expressed as an annual percentage of the loan amount.

Dividend

A portion of a company's earnings distributed to its shareholders as determined by the company's board of directors.

Operating Activities

The primary revenue-generating activities of a business, such as sales and service delivery, reflected in its cash flow.