Given the following data:

	Plan A: Term Life Insurance	Plan B: Whole Life Insurance
Term	25 years	25 years
Annual Premium	$75	$400
Value	Face value of $10,000	Cash value of $11,000 Dividends of $4,000

Assume an after-tax return of 5%. Which plan is more attractive? Why?

____

A) Plan A due to its accumulation from annual savings of $325

B) Plan A because of its guaranteed payout of $10,000 within 25 years

C) Plan B as it provides a larger total benefit package of $15,000

D) Both plans are equally attractive