Answers AG Q4 Phys Ed 2 25-26 JKeefer - S2 Topic TestQuestion 27

27

QuizMultiple Choice

Topic Test

Question 27 • (AG Q4) Phys Ed 2: 25-26 (JKeefer) - S2

How does a health savings account (HSA) help people save money?

Answer

A

The money grows like an investment account.

B

People only have to spend half of the money that they save.

C

People are able to keep the money that they save after medical bills are paid.

D

The money is in a tax-free account.

Explanation

An HSA lets people set aside money for qualified medical expenses in a tax-advantaged account. Contributions and qualified withdrawals generally receive favorable tax treatment, so the money can be used without being taxed in the usual way. The best choice is “The money is in a tax-free account.”

AI-written and checked against the verified answer.