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Which of the following can be classified as an equity indexed annuity?
Options
a. An annuity that has interest rates linked to the Standard & Poor (S&P) 500.
b. An annuity that has interest rates related to the company’s owner’s equity.
c. An annuity based only on the ratio of cash to owner’s equity.
d. An annuity based on the company’s earnings per share (EPS).
Answer: A
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