Which of the Following Is True About the Old Age,Survivors,Disability,and

question 75

Multiple Choice

Which of the following is true about the Old Age,Survivors,Disability,and Health Insurance (OASDHI) program?

• A)Only about 50 percent of U.S.employees are covered by the program.
• B)Federal,state,and local government employees account for a high percentage of employees covered under this program.
• C)There are no eligibility requirements to be met by an individual to receive benefits.
• D)Old-age insurance benefits for fully insured workers begin at the age of 50.
• E)High earners help subsidize benefit payments to low earners.

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Definitions:

Variable Costs

Expenses that vary directly with the level of production or sales, such as materials and labor.

Break-even Sales

The amount of revenue required to cover total fixed and variable costs, resulting in zero profit or loss.

Fixed Costs

Expenses that do not change in proportion to the activity of a business, such as rent, salaries, and insurance premiums, remaining constant regardless of variations in business activity.

Variable Costs

Expenses that change in proportion to the activity of a business, such as materials or labor directly tied to production volume.