Answer:
The correct answer is A
Explanation:
Transfer of value is the term which is defined or described as the rule that stipulate when any interest in the policy or the life insurance policy is transferred for something of value such as property and money. A portion of the death advantage is subject to be taxed on the ordinary income.
So, when the money or amount of money is paid if the change of ownership in the life insurance policy happen or occur, then it is usually known as the transfer of the value.
Answer:
b) inseparability
Explanation:
Inseparability: It refers to that thing that is not separate from each other. It is a combined service. Just like if a product is sold to a customer so along with it the repairing and warranty expenses are free of cost.
In the given example. the players and the gamer are treated as one which means that they are not inseparable.
So, all other options are incorrect except b. option
Answer:
Option D would be the appropriate alternative.
Explanation:
- A broker dealer would be a company or organization engaged throughout the purchase as well as the sale of securities within its multiple occasions or even on behalf of the participants.
- Brokerage serves as an intermediary whenever it implements order information on behalf of the shareholders while acting mostly as a dealer or superintendent whenever it exchanges on one's consideration.
Other choices available aren't connected to that same scenario in the statement. So the answer here is just the perfect one.
Answer: Moral hazard
Explanation: As per economic principles, if an individual increases the exposure to risk when covered by insurance, moral hazard happens, particularly when an individual takes further risks just because someone carries the burden of all those consequences.
There can be a moral hazard at which one party's policies may modify to the disadvantage of someone else after a business transaction has occurred. Moral hazard may arise through a type of asymmetric information in which the threat-taking group to trade is more aware of its motives than the person bearing the risk's implications.
Thus, from the above we can conclude that the correct option is A .
