Question

How are discontinuance charges capped according to the new regulation?

a.

As a percentage of fund value and premium

b.

Only as an absolute value

c.

Only as a percentage of premium

d.

There is no cap on discontinuance charges

Posted under IC 89 Management Accounting

Answer: (a).As a percentage of fund value and premium Explanation:Discontinuance charges are capped as a percentage of fund value and premium and also as an absolute value.

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Q. How are discontinuance charges capped according to the new regulation?
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