$9$

Multiple Choice

$2$ points

There are many options regarding the type of annulty one can purchase. Which of the following is correct?

A foved annuity will have the initial rate, which lasts until the end of the first life.

Earning within fixed, varisble and equity$-$indexed annuities are never subject to income tax untill annuitlzation occurs and distributions begin.

An equity$-$indexed annuity generally has less risk that a variable annuity.

A varlable annuity always has funds invested in equity sub accounts.