Unit 4: Wages and Salaries

Which of the following is an example of a source of income generated through wages or salaries, specifically within the field of technology?

• Receiving a substantial inheritance from a deceased relative

• Operating a successful e-commerce business and earning profits

• Investing in stocks and receiving dividends

• Developing software as an independent contractor and receiving fixed monthly payments

Which of the following is NOT a form of earned income derived from labor or employment?

• Engaging in a full-time executive role at a multinational corporation and receiving a predetermined monthly compensation package

• Operating as a self-employed web developer and receiving compensation on a per-project basis

• Being gifted a substantial sum of money by a relative on a festive occasion

• Working intermittently as a server at a fine dining establishment and earning an hourly remuneration

Which of the following employee benefits is specifically designed to provide comprehensive coverage for eligible medical expenses incurred by an employee and their dependents, including hospitalizations, surgeries, prescription medications, and specialized treatments?

• Sick leave

• Retirement plan

• Health insurance

• Dependent care plan

Which of the following employee benefits is a tax-advantaged savings account designed to provide income during retirement, involving both employer and employee contributions, and often includes various investment options?

• Paid vacation

• Dental insurance

• 401(k) plan

• Flexible spending account

Which of the following terms accurately describes the remaining financial amount an individual or organization earns, after subtracting various deductions such as taxes, expenses, and other financial obligations, that is not subject to further reduction?

• Gross income

• Net income

• Taxable income

• Adjusted income

What term describes the amount of money that an individual is responsible for paying out of pocket at the time of receiving medical services covered by their insurance?

• Premium

• Deductible

• Co-pay

• Policy limit

Which insurance term refers to the maximum amount of money that an insurance company will pay out for a covered claim?

• Premiums

• Deductibles

• Co-pays

• Policy limits

Which type of health insurance plan typically requires a referral from a primary care physician to see a specialist?

• Health Maintenance Organization "HMO"

• Preferred Provider Organization "PPO"

• Point-of-Service "POS"

• Exclusive Provider Organization "EPO"

Which type of health insurance plan typically offers the most flexibility in choosing healthcare providers?

• HMO

• PPO

• POS

• EPO

Which of the following accurately describes the benefits of disability and long-term care insurance?

• Disability insurance provides financial protection in case of a temporary illness or injury, while long-term care insurance covers the costs of long-term care services.

• Disability insurance is only available to individuals over the age of 65, while long-term care insurance replaces a percentage of lost income due to a permanent disability.

• Disability insurance and long-term care insurance both have low premiums, making them affordable options for most individuals.

• Disability insurance and long-term care insurance are provided for free by the government, with no out-of-pocket costs for individuals.