Why does the death benefit increase under certain conditions in the universal life Plan A (fixed face amount)?

What will be an ideal response?


IRS rules require the face amount of a life insurance contract bear a relationship to the cash value. If there is too much cash value, the contract is declared an MEC and tax advantages are lost. If the cash value does well, there may be too much relative to the fixed face amount, and therefore the face amount is increased so as not to violate the relationship and lose tax benefits.

Business

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According to Aristotle, happiness comes from ______.

A. pleasure B. wealth C. living well on our own D. fulfilling our purpose

Business

By handing the message over to connectors,

A) MPR creates media mentions and generates word-of-mouth inexpensively. B) companies do not have to rely on public relations professionals. C) firms can be certain that audiences will receive the message every time. D) MPR professionals do not have to bother following up. E) organizations can entirely eliminate the need for mass media advertising.

Business

Use the cost information below for Sundar Company to determine the total manufacturing costs added during the current year:    Direct materials used$19,000 Direct labor used 24,500 Factory overhead 55,100 Beginning work in process inventory 10,700 Ending work in process inventory 11,300 

A. $79,000. B. $42,900. C. $98,600. D. $43,500. E. $98,000.

Business

Sexual harassment may include

a. jokes about sex. b. derogatory rumors. c. rude sounds. d. all of these choices.

Business