Which of the following situations describes a risk exposure that can be most appropriately insured against with an individual disability income policy?   A)A self-employed bookkeeper earns $40,000 a year out of a small office located in her neighborhood, and wants to protect her income.   B)A lawyer wants to make sure his business overhead expenses are covered if he becomes disabled.   C)A couple with a military retirement income manages a self-storage business, and they are compensated with a place to live that is on the premises of the business.   D)An accountant's spouse owns the building in which the accounting office is located. All of the practice’s income is used to pay rent and other business expenses, so the accountant has no compensation from the business.

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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Which of the following situations describes a risk exposure that can be most appropriately insured against with an individual disability income policy?

 
A)A self-employed bookkeeper earns $40,000 a year out of a small office located in her neighborhood, and wants to protect her income.
 
B)A lawyer wants to make sure his business overhead expenses are covered if he becomes disabled.
 
C)A couple with a military retirement income manages a self-storage business, and they are compensated with a place to live that is on the premises of the business.
 
D)An accountant's spouse owns the building in which the accounting office is located. All of the practice’s income is used to pay rent and other business expenses, so the accountant has no compensation from the business.
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