Question 1

An estate plan would be least likely to need revision when

Accepted Answer

A)  a child was born. 
B)  people moved from one state to another. 
C)  a son graduated from college. 
D)  a spouse became disabled. 
E)  the tax laws changed. 
A)  a child was born. 
B)  people moved from one state to another. 
C)  a son graduated from college. 
D)  a spouse became disabled. 
E)  the tax laws changed.

Question 2

A valid will cannot be contested.

Accepted Answer

A) True 
 B)False

Question 3

____ would be a first-level death-related cost.

Accepted Answer

A)  Funeral expenses 
B)  Federal estate taxes 
C)  Probate expenses 
D)  Inheritance taxes 
E)  Administrative costs 
A)  Funeral expenses 
B)  Federal estate taxes 
C)  Probate expenses 
D)  Inheritance taxes 
E)  Administrative costs

Question 4

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-[Busy executives | minors | those willing to spend countless hours handling large sums of money] do not need trust services.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 5

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-Funds from the [Minor's Section 2503(c)| Crummy] trust must be distributed by the time the beneficiary turns 21.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 6

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-The unlimited marital deduction is available only if the recipient spouse is a [U.S.citizen and files a gift tax return | legal resident and does not have to file a gift tax return].

Accepted Answer

The answer of Choose the word or phrase in [...

Question 7

Estate planning is closely related to

Accepted Answer

A)  retirement and investment planning. 
B)  tax and retirement planning. 
C)  tax and investment planning. 
D)  retirement and insurance planning. 
E)  insurance and investment planning. 
A)  retirement and investment planning. 
B)  tax and retirement planning. 
C)  tax and investment planning. 
D)  retirement and insurance planning. 
E)  insurance and investment planning.

Question 8

An executor plays an important function during the probate process.

Accepted Answer

A) True 
 B)False

Question 9

A will is used to

Accepted Answer

A)  name a personal representative to guide the distribution of the estate 
B)  name a guardian for persons and property 
C)  specify the distribution of tax burdens to beneficiaries 
D)  all of the above 
E)  none of the above 
A)  name a personal representative to guide the distribution of the estate 
B)  name a guardian for persons and property 
C)  specify the distribution of tax burdens to beneficiaries 
D)  all of the above 
E)  none of the above

Question 10

Estate planning requires knowledge of wills,trusts,and investments.

Accepted Answer

A) True 
 B)False

Question 11

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-The gift tax law allows a person to give gifts up to [$10,000 | $13,000] tax free.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 12

A testator can revoke a will in the following ways:

Accepted Answer

A)  making a later will that will revoke prior wills 
B)  making a codicil that revokes prior wills 
C)  burning the will 
D)  all of the above 
E)  a & b 
A)  making a later will that will revoke prior wills 
B)  making a codicil that revokes prior wills 
C)  burning the will 
D)  all of the above 
E)  a & b

Question 13

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-Mike and Tristan,father and son,own property as tenants in common.Tristan [can | cannot] write a valid will leaving his part of this property to Ella Fitzgerald.

Accepted Answer

The answer of Choose the word or phrase in [...

Question 14

A will can be destroyed after a codicil is written.

Accepted Answer

A) True 
 B)False

Question 15

The probate estate consists of

Accepted Answer

A)  real property 
B)  personal property 
C)  regulated by interstate laws if you have no valid will 
D)  all of the above 
E)  none of the above 
A)  real property 
B)  personal property 
C)  regulated by interstate laws if you have no valid will 
D)  all of the above 
E)  none of the above

Question 16

The adoption of a child will cause estate transfer costs to change.

Accepted Answer

A) True 
 B)False

Question 17

Your gross estate is composed only of nonprobate property.

Accepted Answer

A) True 
 B)False

Question 18

This situation calls especially for an estate plan based on the people planning perspective.

Accepted Answer

A)  working couple with handicapped child 
B)  married man with no dependents 
C)  single person, no dependents, some property 
D)  single person, no property 
E)  mother and daughter, independent, ages 65 and 43, share housing 
A)  working couple with handicapped child 
B)  married man with no dependents 
C)  single person, no dependents, some property 
D)  single person, no property 
E)  mother and daughter, independent, ages 65 and 43, share housing

Question 19

The federal estate tax is similar from state to state.

Accepted Answer

A) True 
 B)False

Question 20

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-You are married with a 3-year old child.If you die without leaving a will,in most states [your spouse will inherit your entire estate | your spouse and child will share your estate].

Accepted Answer

The answer of Choose the word or phrase in [...

An estate plan would be least likely to need revision when

A valid will cannot be contested.

____ would be a first-level death-related cost.

Estate planning is closely related to

An executor plays an important function during the probate process.

A will is used to

Estate planning requires knowledge of wills,trusts,and investments.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -The gift tax law allows a person to give gifts up to [$10,000 | $13,000] tax free.

A testator can revoke a will in the following ways:

A will can be destroyed after a codicil is written.

The probate estate consists of

The adoption of a child will cause estate transfer costs to change.

Your gross estate is composed only of nonprobate property.

This situation calls especially for an estate plan based on the people planning perspective.

The federal estate tax is similar from state to state.

Understanding the Financial Planning Process

Using Financial Statements and Budgets

Preparing Your Taxes

Managing Your Cash and Savings

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Protecting Your Property

Investment Planning

Investing in Stocks and Bonds

Investing in Mutual Funds

Planning for Retirement

Filters

Exam 15: Preserving Your Estate

An estate plan would be least likely to need revision when

A valid will cannot be contested.

____ would be a first-level death-related cost.

Estate planning is closely related to

An executor plays an important function during the probate process.

A will is used to

Estate planning requires knowledge of wills,trusts,and investments.

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement. -The gift tax law allows a person to give gifts up to [$10,000 | $13,000] tax free.

A testator can revoke a will in the following ways:

A will can be destroyed after a codicil is written.

The probate estate consists of

The adoption of a child will cause estate transfer costs to change.

Your gross estate is composed only of nonprobate property.

This situation calls especially for an estate plan based on the people planning perspective.

The federal estate tax is similar from state to state.

Understanding the Financial Planning Process

Using Financial Statements and Budgets

Preparing Your Taxes

Managing Your Cash and Savings

Making Automobile and Housing Decisions

Using Credit

Using Consumer Loans

Insuring Your Life

Insuring Your Health

Protecting Your Property

Investment Planning

Investing in Stocks and Bonds

Investing in Mutual Funds

Planning for Retirement

Filters