Question

question 10 of 10
the cost of $500,000 worth of 15-year term life insurance for audrey is $28.44 per month. if audreys employer covers 75% of this cost, how much is deducted from audreys gross income per year for life insurance?

a. $85.32
b. $255.96
c. $341.28
d. $21.33

Explanation:

Step1: Find Audrey's monthly cost

The employer covers 75%, so Audrey pays \(100\% - 75\% = 25\%\) of the monthly cost. The monthly cost is $28.44, so Audrey's monthly cost is \(28.44\times0.25 = 7.11\) dollars.

Step2: Find Audrey's annual cost

To find the annual cost, multiply the monthly cost by 12. So, \(7.11\times12 = 85.32\) dollars.

Answer:

A. $85.32