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Jackie purchased a $750,000 Universal life policy with a level death benefit on December 1,...

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Accounting

Jackie purchased a $750,000 Universal life policy with a level death benefit on December 1, 1982. The policy lapsed in 1984 and she reinstated it in 1985. The policy's current Account Value is $49,500 and its ACB is $68,543. Given this scenario how is the policy viewed by the CRA? Select one: a. It is a Universal Life policy and thus is exempt b. The policy would be tax exempt as it was acquired on or before December 1, 1982 c. The policy would be taxable as it was acquired on or after December 1, 1982 d. The policy would be tax exempt because the Account Value is less than the ACB

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