Which of the following is/are correct regarding death benefit only (DBO) plans?(1) DBO plans must be funded through life insurance only.(2) A DBO plan is a type of deferred compensation plan under which all benefits are payable upon death to the beneficiaries designated by the employee.

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The CFP® certification exam is a 6-hour, 170-question, multiple-choice test in the US assessing financial planning proficiency. It includes standalone questions, scenarios, and case studies, focusing on application over recall. Key areas include tax, retirement, estate, and investment planning, designed to test critical thinking and practical application.  Key Aspects of the CFP® Exam Structure: The exam is broken into two 3-hour sessions with a 40-minute break. Content: Questions cover 8 main domains: Financial Planning Process, Risk Management/Insurance, Investment Planning, Tax... Show more

Which of the following is/are correct regarding death benefit only (DBO) plans?<br>(1) DBO plans must be funded through life insurance only.<br>(2) A DBO plan is a type of deferred compensation plan under which all benefits are payable upon death to the beneficiaries designated by the employee.