Final answer:
In an MDU, the terminating equipment is indeed the demarcation point. However, the statement about high-voltage wires being wrapped in insulating material is false; they are held with insulating connectors but are typically bare.
Step-by-step explanation:
The statement that in an MDU (Multi-Dwelling Unit), the terminating equipment such as loopbacks or modems is the demarcation point is true. Typically, the demarcation point is where the service provider's responsibility ends, and the customer's (in this case, the resident's or the MDU management's) begins. The demarcation point is critical in telecommunications because it marks the boundary between the carrier's network and the wiring and equipment maintained by the customer.
Regarding the true/false statement about high-voltage wires being insulated, that statement is false. High-voltage wires that are connected to metal-frame towers are indeed held aloft by insulating connectors to prevent the flow of electricity to the ground or other wires. However, these wires are typically not wrapped in insulating material—they are bare. This is because the air around the wires acts as insulation and because adding an insulating wrap would be incredibly costly and not practical given the high-voltage carried by these wires and the long distances they cover.