INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement.
-The most accurate way to determine how much life insurance you need is to use the [multiple earnings | needs] approach.
A)for the first item
B)for the second item
C)if neither item will correctly complete the statement.

Question

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-The most accurate way to determine how much life insurance you need is to use the [multiple earnings | needs] approach.
A)for the first item
B)for the second item
C)if neither item will correctly complete the statement.

Quizplus · Accepted Answer

The "needs" approach takes into account factors such as outstanding debts, funeral expenses, and future educational costs. The "multiple earnings" approach simply multiplies your annual income by a certain factor, which may not accurately reflect your actual financial needs. Therefore, the "needs" approach is considered the most accurate method for determining how much life insurance you need.

INSTRUCTIONS: Choose the Word or Phrase in [ ] Which