Rob purchased a standard whole life policy with a $500,000 death benefit when he was age 30. His insurance agent told him the policy would be paid up if he reached age 100. The present cash value of the policy equals $250,000. Rob recently died at age 60. The death benefit would be

Which of the following statements is FALSE?

A. Shareholders typically must pay taxes on the dividends they receive. They must also pay capital gains taxes when they sell their shares. B. Unlike with capital structure, taxes are not an important market imperfection that influence a firm's decision to pay dividends or repurchase shares. C. Because long-term investors can defer the capital gains tax until they sell, there is still a tax advantage for share repurchases over dividends. D. If dividends are taxed at a higher rate than capital gains, which has been true until the most recent change to the tax code, shareholders will prefer share repurchases to dividends.

Which of the following is not a separate performance obligation?

A. A good that the seller could sell separately. B. A right of return. C. An option for a customer to purchase goods under terms that are more advantageous than those enjoyed by other customers. D. An extended warranty.