Which of the Following Is a Primary Investment Vehicle for the Funds

question 66

Multiple Choice

Which of the following is a primary investment vehicle for the funds in which life insurance companies must invest?

• A) CDs.
• B) Equity securities.
• C) Long-term corporate bonds.
• D) Both B and C.

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Definitions:

Cash

Money in the form of currency that is available for immediate use by a company for transactions, payments, and other financial activities.

T-Account

A visual representation used in accounting to depict the debit and credit sides of individual accounts.

Debit

A debit is an accounting entry that increases an asset or expense account, or decreases a liability or equity account, and is reflected on the left-hand side of an accounting ledger.

Liability Accounts

Accounts on a company's balance sheet that represent amounts owed to creditors, including loans, accounts payable, and other financial obligations.