These practice variables include (a) the effects of a. model's skill level during observation, (b) how augmented feedback is provided. two a learner and (c) how practice conditions are arranged when learning. multiple tasks. The results of research in these areas suggest that cognitive. processes play an important role during the early stages of skill acquisition. Moreover, the effort by which these cognitive processes are undertaken is. influenced by practice variables.
MEC is a Modified Endowment Contract. It is a life insurance policy that meets the IRS definition of life insurance but fails a specific premium test (the seven pay test) meant to limit using life insurance as a tax sheltered investment vehicle and was established in a tax change in 1988 (TAMRA).
Policy owners could then withdraw both the interest and principal as a tax-free loan, as long as the policy did not lapse before the owner's death. Of course, this strategy effectively allowed the policy to function as a large-scale tax shelter. However, Congress did not agree that life insurance should be used in this manner and therefore passed the Technical and Miscellaneous Revenue Act of 1988 (TAMRA). This act created the MEC. Before this law was passed, all withdrawals from any cash-value insurance policy were taxed on a first-in-first-out (FIFO) basis. This meant that the original contributions that constituted a tax-free return of principal were withdrawn before any of the earnings.