Chris applied for life insurance and paid the first premium on Monday

She was given an insurability premium receipt which specified that coverage was effective on the date of the application or the date of the medical exam, whichever is later. She took the medical exam the following Thursday. She was found to be in perfect health. On which day was her coverage effective?
A) on Monday, when she completed the application and paid the first premium
B) on Wednesday, two days after completing the application and paying the first premium
C) on Thursday when she passed the medical exam
D) on Saturday, two days after passing the medical exam


Answer: C

Business

You might also like to view...

Florence and Grady pool their money and talents to form Happy Home Builders, Inc. They are the firm's only shareholders, directors, and officers. After five years of declining home prices, they decide to cease business. Can they simply dissolve their corporation at will? If so, what are the steps in the process?

What will be an ideal response?

Business

Which of the following sentences has a connotative meaning?

A. "Please do not hassle the customer service representatives with too frequent questions." B. "Research and development has developed an outstanding production process." C. "Rita's drive and enthusiasm make her successful at sales." D. "Your ability to meet deadlines is satisfactory."

Business

Meals and entertainment expenses are limited to 50%.

Answer the following statement true (T) or false (F)

Business

General Investment Co. (GIC) purchased bonds on January 1, 2021. GIC's accountant has projected the following amortization schedule from purchase until maturity:DateCash ReceivedInterest RevenueAmortization of DiscountAmortized Cost 1/1/2021          $194,758  6/30/2021$7,000 $7,790  $790  195,548  12/31/2021 7,000  7,822   822  196,370  6/30/2022 7,000  7,855   855  197,225  12/31/2022 7,000  7,889   889  198,114  6/30/2023 7,000  7,925   925  199,039  12/31/2023 7,000  7,961   961  200,000 Recording the bond purchase would have what effect on the financial statements?

A. Increase assets and liabilities. B. Increase liabilities. C. Increase assets. D. No effect on total assets and total liabilities.

Business