Non-Qualified Annuity Taxation (ID-L)

A non-qualified annuity is one that is purchased with what?

A qualified annuity is one that is purchased with what?

Based on IRS rules, the insurance company calculates how much of the non-qualified annuity income is considered principal (NOT taxable) and how much is considered profit (taxable). What is this calculation called?

During the accumulation phase, the money that was put into the non-qualified annuity grows tax-deferred. What does that mean?

If a nonhuman entity (corporation or trust) is the annuity owner, how is the growth (interest or investment earnings) taxed?

The Internal Revenue Code allows the owner of an annuity contract or life insurance policy to exchange one product for another without being taxed. What is this called?

Upon death of the annuitant, which of the following statements is FALSE about how non-qualified annuities are taxed?

Which of the following is FALSE about money received from a non-qualified annuity by the annuitant during the annuity phase?

Which of the following is FALSE about money withdrawn from a non-qualified annuity during the accumulation phase?