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3 years ago

Which of the following statements about the waiver-of-premium provision in life insurance is true?

Business

1 answer:

Verdich [7]3 years ago

7 0

Answer:

Correct Answer:

D) The disability must occur before a stated age, such as 65, for premiums to be waived.

Explanation:

In Life insurance, the individual insured against bad events that may likely occur in his or her life through an insurance company. This would led to the company to pay his beneficiary or the individual in question if such event happened.

For waiver-of premium to occur in a life insurance,the disability of the individual must occur before the age of 65 years which is assumed to be the retirement age.

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Patton has acquired several other companies. Assume that Patton purchased Kate for $ 6 comma 000 comma 000 cash. The book value

ruslelena [56]

Answer:

1. $2,000,000

2. Accounting Entry

Assets $17,000,000 (debit)

Goodwill $2,000,000 (debit)

Liabilities $13,000,000 (credit)

Investment in Kate $6,000,000 (credit)

Explanation:

The Acquisition of Kate must be done at the fair value of Assets and Liabilities at the acquisition date instead of book values.

Goodwill is the excess of the Purchases Price over the Net Identifiable assets acquired.

Calculation of Goodwill :

Purchase Price $6,000,000

Less Net Identifiable Assets

Assets at Fair Value $17,000,000

Less Liabilities at Fair Value ($13,000,000) ($4,000,000)

Goodwill $2,000,000

Accounting Entry

Assets $17,000,000 (debit)

Goodwill $2,000,000 (debit)

Liabilities $13,000,000 (credit)

Investment in Kate $6,000,000 (credit)

4 0

3 years ago

Marla made a spreadsheet in Excel showing the projected costs for a concert she was putting on. What can Marla enter into cell A

aliina [53]

Marla will use the formula to find the updated cost.

=A2-A4-A6-A8-A10

Because A2 is budget and A4, A6, A8 and A10 all are expenses. So she has to budget-all expenses.

So option A=A2-A4-A6-A8-A10 is true.

<h3>What is a spreadsheet?</h3>

A spreadsheet is a computer program that can capture, display and manipulate data arranged in rows and columns. Spreadsheets are one of the most popular tools available with personal computers.

A single spreadsheet can be used as a worksheet to compile data for a purpose, or multiple sheets can be combined to create an entire workbook.

Learn more about spreadsheet here,

brainly.com/question/10509036

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4 0

2 years ago

Newham Corporation produces and sells two products. In the most recent month, Product R10L had sales of $31,000 and variable exp

Artist 52 [7]

Answer:

a.$75,508

Explanation:

Newham Corporation

Break Even Sales = Fixed Expenses/ 1- (Variable Expenses/ Sales)

We combined the Break Even Sales by adding the sales of the two products and the variable expenses of the two products.

Break Even Sales =$46,060/1-($10,780+$18,470/$31,000+ $44,000)

Break Even Sales =$46,060/1-(29250/75,000)

Break Even Sales =$46,060/ 1-0.39

Break Even Sales =$46,060/ 0.61

Break Even Sales = $75,508.19

6 0

3 years ago

encourage outsourcing of production units. protect domestic producers by limiting foreign competition. lower the prices of impor

NARA [144]

Answer:

lower the prices of imported components

Explanation:

In simple words, Job outsourcing allows American businesses to compete more effectively in the international economy. It enables them to advertise to international markets through their abroad operations. They keep labor costs cheap by recruiting in developing countries with poorer living conditions. As a result, the pricing of the items they send back to the United States are lower.

4 0

3 years ago

Jilk Inc.'s contribution margin ratio is 60% and its fixed monthly expenses are $48,000. Assuming that the fixed monthly expense

Kryger [21]

Answer:

The best estimate of the company's net operating income in a month is $34,800.

Explanation:

This can be calculated using the following steps:

Step 1: Calculation of contribution margin

This can be calculated using the formula for calculating the contribution margin ratio as follows:

Contribution margin ratio = Contribution margin / Sales ........... (1)

where,

Substituting the values in the question into equation (1) and solve for contribution margin, we have:

60% = Contribution margin / $138,000

Contribution margin = 60% * $138,000 = $82,800

Step 2: Estimation of the company's net operating income in a month

This can be calculated using the following formula:

Net operating income = Contribution margin - Fixed expenses ......... (2)

Substituting the $82,800 obtained in Step 1 for contribution margin and the fixed monthly expenses of $48,000 in the question into equation (2), we have:

Net operating income = $82,800 - $48,000 = $34,800

Conclusion

From Step 2 above, the best estimate of the company's net operating income in a month is therfore $34,800.

4 0

3 years ago