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A participating life insurance policy has a long-term care rider. The insured qualifies for the benefit. Where does the initial

harina [27]

Answer:

It is an advance of the face amount of the policy

Explanation:

The life insurance policy with an added long-term care rider is a policy that suits people who prefers lifetime care benefits. This policy provides an amount (benefit) of the death benefit to pay for some long-term care expenses covered in the policy at any point in time the policyholder requires care. It is important to note that this benefit is simply an advance of the policy's face amount.

3 0

3 years ago

Richard and Alice are divorced and under the terms of their written divorce agreement signed on December 30, 2011, Richard was r

murzikaleks [220]

Answer:

$10,800

Explanation:

Alice's gross income must include the money she received from Richard as part of their divorce settlement, excluding the amount set for child support:

Alice's gross income = 12 x ($1,500 - $600) = 12 x $900 = $10,800

The extra money that Richard gave Alice that was not part of the divorce settlement is not included in her gross income, since it is included in Richard's gross income.

4 0

3 years ago

A marine biologist is planning to move from Sydney, Australia to San Francisco. She has $5,000 Australian dollars (AUD) to make

natita [175]

Answer:

Now, if takes 0.765 USD to be equal 1 AUD. when the dollar increases, it will take fewer dollars to equal 1 AUD. for instance, it takes 0.5 dollars per 1 AUD. The conversion will change to:5,000 AUD * (0.5 USD/AUD)

5,000 * 0.5

= $2,500

so, her AUD will be worth more now.

Explanation:

Solution

Given that:

Her present $5,000 AUD is worth $3,825 USD.

Then

5,000 AUD * (0.765 USD/AUD)

5,000 * 0.765

= $3,825

So,

If the USD dollar increases against the AUD, then, the ratio will reduce.

For example, it takes 0.765 USD to be equal 1 AUD. when the dollar increases, it will take fewer dollars to equal 1 AUD. for instance, it takes 0.5 dollars per 1 AUD. The conversion will change to:

5,000 AUD * (0.5 USD/AUD)

5,000 * 0.5

= $2,500

Therefore, her AUD will be worth more now.

6 0

3 years ago

The current spot exchange rate is $1.55 = €1.00; the three-month U.S. dollar interest rate is 2 percent. Consider a three-month

Elan Coil [88]

Answer:

The least that this option should sell for is $3,125.

Explanation:

Acording to the data, we have the following:

The current spot exchange is $1.55=€1.00

The call option has a strike price of $1.50=€1.00 and spot price is €62,500

Hence,to calculate the least value this option should sell for we have to calculate the following:

$1.55-$1.50=$0.05

Hence, $0.05*62,500= $3,125.

8 0

3 years ago

Variable Costing—Production Exceeds Sales Fixed manufacturing costs are $44 per unit, and variable manufacturing costs are $100

Soloha48 [4]

Answer:

a. The variable costing operating income is less than absorption costing operating income.

b. The difference in variable costing and absorption costing operating income is:

= $739,200.

Explanation:

a) Data and Calculations:

Fixed manufacturing costs per unit = $44

Variable manufacturing costs per unit = $100

Production units = 67,200

Sales units = 50,400

Ending inventory = 16,800

Income Statements Variable Absorption

Costing Costing

Costs of goods sold: $5,040,000 $7,257,600

Fixed expenses 2,956,800

Total costs $7,996,800 $7,257,600 $739,200

b) The difference in variable costing and absorption costing operating income is because of the absorbed fixed costs in ending inventory, which is now carried forward to the next accounting period.

4 0

3 years ago