# 7 Annuities

The type of annuity that can be purchased with one monetary deposit is called a(n):

Immediate annuity

T, age 70, withdraws cash from a profit-sharing plan and purchases a Straight Life Annuity. What will this transaction provide?

Income that cannot be outlived by the owner

which of these statements concerning an Individual Straight Life annuity is accurate?

Payments are made to an annuitant for life

A ____ annuity pays benefits based on units rather than stated dollar amounts.

variable

Which of the following are Equity Indexed annuities typically invested in?

S&P 500

S recently received a $500,000 lump sum retirement buyout from her employer. She would like to buy an annuity that will immediately furnish her with a guaranteed income for life. What type of annuity is best suited for her situation?

Single Premium

Which of these is an element of a Single Premium annuity?

Lump-sum payment

What type of annuity has a cash value that is based upon the performance of it's underlying investment funds?

variable

The payments on Q's annuity are no less than $250 quarterly. which of the following annuities does Q own?

Flexible Installment Deferred

A Variable Annuity has which of the following characteristics?

Underlying equity investments