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FICEP PART 2 100% CORRECT ANSWERS | ESTUDY LATEST, ALL ANSWERED 2024/2025
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FICEP PART 2 100% CORRECT ANSWERS | ESTUDY LATEST, ALL ANSWERED 2024/2025
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ESTUDYFICEP PART 2 100% CORRECT ANSWERS | ESTUDY
LATEST, ALL ANSWERED 100%
**1. What is a 401(k)?**
A. A type of insurance policy
B. A retirement savings plan allowing employees to make tax-deferred contributions
C. A short-term investment account
D. A type of pension plan
**- ANSWER: B. A retirement savings plan allowing employees to make tax-deferred contributions**
---
**2. Who is a beneficiary?**
A. The person responsible for managing the estate
B. The person or persons designated to receive a death benefit
C. The policyholder's legal representative
D. The insurance company providing the policy
**- ANSWER: B. The person or persons designated to receive a death benefit**
---
**3. What is a cafeteria plan?**
,ESTUDY
A. A retirement savings plan
B. A flexible benefit plan allowing employees to choose from various options
C. A type of health insurance
D. A financial savings account
**- ANSWER: B. A flexible benefit plan allowing employees to choose from various options**
---
**4. What are capital gains?**
A. Profits earned from investments when sold
B. Losses incurred from the sale of assets
C. Interest earned on savings accounts
D. Tax deductions for investments
**- ANSWER: A. Profits earned from investments when sold**
---
**5. What is compound interest?**
A. Interest paid only on the principal amount
B. Interest that is calculated on the initial principal and also on the accumulated interest
C. A fixed rate of return
D. Interest that is paid out monthly
, ESTUDY
**- ANSWER: B. Interest that is calculated on the initial principal and also on the accumulated
interest**
---
**6. What is a death benefit?**
A. The premium paid for an insurance policy
B. The amount paid upon the death of the policyholder
C. The interest earned on a life insurance policy
D. The total value of a policy
**- ANSWER: B. The amount paid upon the death of the policyholder**
---
**7. What is a deductible?**
A. The amount the insurance covers before any expenses are incurred
B. The total premium paid for insurance coverage
C. The amount that the policyholder must pay before insurance begins to cover expenses
D. The benefit amount received from a claim
**- ANSWER: C. The amount that the policyholder must pay before insurance begins to cover
expenses**
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