Question 12(1 point)

The following statement best describes the primary characteristic of what type of life insurance?

This type of policy is interest-sensitive life insurance in which the investment, expense, and mortality elements are separately and specifically defined.

Question 12 options:

Survivorship insurance

Endowment insurance

Variable life insurance

Universal life insurance

Question 13(1 point)

Cathy is creating an irrevocable life insurance trust for the benefit of her three children. The trust will purchase and be owner of life insurance on her life. Cathy plans to make gifts to the trust each year of amounts sufficient to pay the insurance premiums. Each of the children will be given a Crummey withdrawal power. The Crummey power must have all but which of the following characteristics?

Question 13 options:

Each of the children must be given adequate time to exercise the power

Each of the children should be given notice of the power

The trust must have sufficient assets to satisfy the power

Each of the children must be an adult

Question 14(1 point)

Sarah inherited her Mother's eclectic antique collection and is thinking about donating some of the items to a local museum. Which of the following items would not require an appraisal?

Question 14 options:

A manuscript worth $10,000

A vase worth $25,000

A watch worth $2,500

A painting worth $50,000

All questions are multiple choice