Which of the Following Would Result in Life Insurance Proceeds

question 93

Multiple Choice

Which of the following would result in life insurance proceeds that are taxable to the recipient?

• A)A life insurance policy transferred to a creditor in payment of a debt
• B)A life insurance policy in which the insured is the daughter of the taxpayer and the beneficiary is the taxpayer
• C)A life insurance policy transferred by a shareholder to a corporation
• D)A life insurance policy purchased by a taxpayer insuring his or her business partner
• E)A life insurance policy purchased by a corporation insuring an officer.

---

Definitions:

Prolactin

A hormone produced by the anterior pituitary gland that stimulates milk production in mammals.

Maternal Behavior

The actions and reactions of a mother towards her offspring, often instinctual and influenced by hormonal changes, aiming at protecting and nurturing the child.

Lower Mammals

A term sometimes used to describe mammals that are perceived as less evolutionary developed, often referring to smaller, simpler, or non-primate mammals.

Major Depression With Perinatal Onset

Serious maternal depression following delivery; characterized by sadness, apathy, and feelings of worthlessness.