The annual increase in the cash surrender value of a life insurance policy:
(A) Is taxed according to the original issue discount rules.
(B) Is not included in gross income because the policy must be surrendered to receive the cash surrender value.
(C) Reduces the deduction for life insurance expense.
(D) Is exempt because it is life insurance proceeds.
(E) None of these.
Answers (1)
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “The annual increase in the cash surrender value of a life insurance policy: (A) Is taxed according to the original issue discount rules. ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Primo Industries collected $105,000 from customers in 2014. Of the amount collected, $25,000 was from services performed in 2013. In addition, Primo performed services worth $40,000 in 2014, which will not be collected until 2015.
Answers (1)
Classical economist David Hume observed that as the money supply expanded after gold discoveries a. it took time for prices to rise; in the meantime output was higher. b. it took time for prices to rise; in the meantime output was lower. c.
Answers (1)
Once a table or spreadsheet has been inserted into a slide, its formatting cannot be changed. True False
Answers (2)
You are to receive an annuity of $1,000 per year for 10 years. You will receive the first payment two years from today. At a discount rate of 10%, what is the present value of this annuity?
Answers (1)
Prices become higher when a unique and highly desirable item is auctioned because the
Answers (1)
New Questions in Business
The Fisher effect:a. says the government can generate revenue by printing money. b. explains how prices adjust to obtain equilibrium in the money market. c. says there is a one for one adjustment of the nominal interest rate to the inflation rate. d.
Answers (1)
Sandra has a young child and would like to set money aside for her college education. Which type of savings option should Sandra choose? money market account treasury security basic savings plan 529 plan
Answers (1)
A company offers ID theft protection using leads obtained from client banks. Three employees work 40 hours a week on the leads, at a pay rate of $16 per hour per employee.
Answers (1)
Leah, the CEO of SteadyResults Corp., feels that she is underpaid, so she hires a compensation consultant to survey actual competitors of the company. According to agency theory, if SteadyResults performs poorly, her salary will most likely:
Answers (1)
To calculate your return on a stock: If you bought a stock at $80 and earned a $3.00 dividend over the year and at the end of the year the stock value was $84, your return would be: a. 8.75% b. 8% c. 9% d. 9.25%
Answers (1)