You are explaining how a variable annuity functions to one of your clients. Which of the following statements is true? OA) Withdrawals are always federal income tax-free. B) Growth inside the annuity is taxed annually. C) The growth in the variable annuity is guaranteed. D) The rates of return may fluctuate depending on how the account value is invested.
You are explaining how a variable annuity functions to one of your clients. Which of the following statements is true? OA) Withdrawals are always federal income tax-free. B) Growth inside the annuity is taxed annually. C) The growth in the variable annuity is guaranteed. D) The rates of return may fluctuate depending on how the account value is invested.
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 3QTD
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