The future account value of the annuity Alex purchased is connected to the S&P 500 index. What type of annuity did he purchase?

A. Variable annuity
B. Equity-indexed annuity
C. Deferred annuity
D. Immediate annuity.

Ans: B. Equity-indexed annuity

Business

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Bag Ladies, Inc manufactures two kinds of bags—totes and satchels

The company allocates manufacturing overhead using a single plantwide rate with direct labor cost as the allocation base. Estimated overhead costs for the year are $25,500. Additional estimated information is given below. Totes Satchels Direct materials cost per unit $34 $40 Direct labor cost per unit $54 $64 Number of units 530 390 Calculate the amount of overhead to be allocated to Totes. (Round any percentages to two decimal places and your final answer to the nearest dollar.) A) $472 B) $347 C) $11,878 D) $13,620

Business

A solution obtained through mediation is legally binding

Indicate whether the statement is true or false.

Business