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2 years ago

A provision stating that the insurer cannot dispute the validity of a policy after a specific period is called a(n) ______.

1 answer:

8 0

Incontestability clause - This tells us the insurance company may not contest the validity of the policy during the insured's lifetime for any reason, including fraud, if the policy has been in effect for a predetermined duration

What is incontestability clause?

An incontestability clause in a life insurance policy safeguards the policyholder and forbids the insurer from changing any aspect of the insurance coverage as a result of a misinterpretation or false statements made by the insured (the policyholder) after a certain amount of time. A life insurance policy's provider cannot revoke any statement after a specified period of time thanks to an incontestability provision. This provision is frequently regarded as offering policyholders the most robust defense.

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A pension plan helps pay for ______.

GrogVix [38]

C retirement benefits. This is why retirees are sometimes called "pensioners"

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4 years ago

Read 2 more answers

Power industries has acquired a patent for $16,000. its useful life is expected to be four years. Prepare the yearly journal ent

goblinko [34]

If Power industries has acquired a patent for $16,000. its useful life is expected to be four years. The yearly journal entry to recognize periodic amortization is: Debit Amortization Expense - Patents $4,000; Credit Patents $4,000.

<h3>Journal entry </h3>

If the company has acquired a patent for the amount of $16,000 in which the useful life is expected to be four years. The appropriate journal entry to recognize periodic amortization is:

Power industries journal entry

Debit Amortization Expense - Patents $4,000

Credit Patents $4,000

($16,000/4 years)

(To record periodic amortization recognized)

Therefore the yearly journal entry to recognize periodic amortization is: Debit Amortization Expense - Patents $4,000; Credit Patents $4,000.

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2 years ago

Prior to the write off of a $500 customer account, Athena Company had the following account balances: Accounts receivable $19,60

Effectus [21]

Answer:

Net accounts receivable Before $18,600 and After $18,600

Explanation:

solution

we know that here

net accounts receivable before write-off

Accounts Receivable = $19,600

and Allowance for doubtful debt = $1,000

so Net accounts receivable = $19,600 - $1,000 = $18,600

Journal Entry for write off is here

Allowance for doubtful Accounts = $500

Accounts Receivable = $500

and

Net accounts receivable after write off is

Accounts Receivable= $19,100

and

Allowance for doubtful debt= $500

so Net accounts receivable = $19,100 - $500

Net accounts receivable = 8,600

so Net accounts receivable Before $18,600 and After $18,600

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4 years ago

A 30-year zero coupon bond with a face value of $5,000 is currently selling for $1,156.88 and has a market rate of interest of 5

daser333 [38]

Answer:

Price will increase by $277.58

Explanation:

Market rate of Interest of a zero coupon bond can be determined by following formula

Market Rate of Interest = [ ( F / P )^(1/30) ] - 1

4.25% = [ ( $5000 / P )^(1/30) ] - 1

0.0425 + 1 = ( $5000 / P )^1/30

( 1.0425 )^30 = (( $5000 / P )^1/30)^30

3.4856 = $5000 / P

P = $5,000 / 3.4856

P = $1,434.46

Now Calculate the change in Price

Change in price = $1,434.46 - $1,156.88 = $277.58

Price will increase by $277.58

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4 years ago

Match each account type with its description. Tiles basic checking account interest-bearing checking account savings account mon

antiseptic1488 [7]

Basic checking account = <span>Both does not earn interest and has a low minimum balance requirement;
</span>interest-bearing checking account = <span>Both earns interest and allows unlimited ATM use;
</span>savings account = Both restricts access to funds through withdrawals;<span>
money market deposit account = pays higher interest than a savings account;
</span>

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3 years ago