Question 1

The main objective of estate planning is to save attorney's fees.

Accepted Answer

A) True 
 B)False

Question 2

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-Real estate is taxed by [the state of residence | the state where the property is located].

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 3

A gift is given when the donor relinquishes control over the asset.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following qualities are essential in a trustee

Accepted Answer

A)  Impartial family member 
B)  Possess sound business knowledge and judgment 
C)  Partial beneficiary 
D)  All of the above 
E)  None of the above 
A)  Impartial family member 
B)  Possess sound business knowledge and judgment 
C)  Partial beneficiary 
D)  All of the above 
E)  None of the above

Question 5

Mike gave his 25 year old son $13,000 worth of stock in 2009.When Mike died in 2010,that stock was worth $15,000.How much of that gift would potentially be subject to the federal gift and estate tax?

Accepted Answer

A)  $30,000 
B)  $15,000 
C)  $13,000 
D)  $ 2,000 
E)  $ 0 
A)  $30,000 
B)  $15,000 
C)  $13,000 
D)  $ 2,000 
E)  $ 0

Question 6

One should make copies of his will and store them in different places.

Accepted Answer

A) True 
 B)False

Question 7

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-Claudia had not yet signed her newly written will when she died.This [still would | would not] be valid.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 8

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-An appropriate trust to set up with a disabled child being the beneficiary would be the [Special Needs | Minor's Section 2503(c)] trust.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 9

Witnesses to a will may not be family members.

Accepted Answer

A) True 
 B)False

Question 10

Using a trust can help shield an estate from using improper vehicles of transfer.

Accepted Answer

A) True 
 B)False

Question 11

When writing a will,you should seek the professional services of

Accepted Answer

A)  tax accountants. 
B)  attorneys. 
C)  executors. 
D)  intestate administrators. 
E)  trustees. 
A)  tax accountants. 
B)  attorneys. 
C)  executors. 
D)  intestate administrators. 
E)  trustees.

Question 12

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-You need to make a minor revision in your will.You should write a [codicil | new will].

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 13

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-Your will [may | may not] contain a testamentary trust.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 14

More damage is done to estates by doing nothing than by doing the wrong thing.

Accepted Answer

A) True 
 B)False

Question 15

A codicil is a(n)

Accepted Answer

A)  means to revoke a will. 
B)  court-named guardian. 
C)  survivors' response to a will. 
D)  revision to a will. 
E)  executor's revision of a will. 
A)  means to revoke a will. 
B)  court-named guardian. 
C)  survivors' response to a will. 
D)  revision to a will. 
E)  executor's revision of a will.

Question 16

Estate tax liability may be reduced by a state death tax credit.

Accepted Answer

A) True 
 B)False

Question 17

All living trusts are revocable.

Accepted Answer

A) True 
 B)False

Question 18

In most states,the surviving spouse may be entitled to a portion of the estate beyond that granted in the will through the right of election.

Accepted Answer

A) True 
 B)False

Question 19

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-Funeral instructions should be included in a [letter of instructions | your will].

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

Question 20

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. 
-If you want to create a living trust that provides tax advantages,you will need to establish [a revocable | an irrevocable] trust.

Accepted Answer

A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement. 
A) for the first item 
B) for the second item 
C) if neither item will correctly complete the statement.

The main objective of estate planning is to save attorney's fees.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Real estate is taxed by [the state of residence | the state where the property is located].

A gift is given when the donor relinquishes control over the asset.

Which of the following qualities are essential in a trustee

Mike gave his 25 year old son $13,000 worth of stock in 2009.When Mike died in 2010,that stock was worth $15,000.How much of that gift would potentially be subject to the federal gift and estate tax?

One should make copies of his will and store them in different places.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Claudia had not yet signed her newly written will when she died.This [still would | would not] be valid.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -An appropriate trust to set up with a disabled child being the beneficiary would be the [Special Needs | Minor's Section 2503(c)] trust.

Witnesses to a will may not be family members.

Using a trust can help shield an estate from using improper vehicles of transfer.

When writing a will,you should seek the professional services of

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -You need to make a minor revision in your will.You should write a [codicil | new will].

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Your will [may | may not] contain a testamentary trust.

More damage is done to estates by doing nothing than by doing the wrong thing.

A codicil is a(n)

Estate tax liability may be reduced by a state death tax credit.

All living trusts are revocable.

In most states,the surviving spouse may be entitled to a portion of the estate beyond that granted in the will through the right of election.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Funeral instructions should be included in a [letter of instructions | your will].

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -If you want to create a living trust that provides tax advantages,you will need to establish [a revocable | an irrevocable] trust.

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

The main objective of estate planning is to save attorney's fees.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Real estate is taxed by [the state of residence | the state where the property is located].

A gift is given when the donor relinquishes control over the asset.

Which of the following qualities are essential in a trustee

Mike gave his 25 year old son $13,000 worth of stock in 2009.When Mike died in 2010,that stock was worth $15,000.How much of that gift would potentially be subject to the federal gift and estate tax?

One should make copies of his will and store them in different places.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Claudia had not yet signed her newly written will when she died.This [still would | would not] be valid.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -An appropriate trust to set up with a disabled child being the beneficiary would be the [Special Needs | Minor's Section 2503(c)] trust.

Witnesses to a will may not be family members.

Using a trust can help shield an estate from using improper vehicles of transfer.

When writing a will,you should seek the professional services of

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -You need to make a minor revision in your will.You should write a [codicil | new will].

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Your will [may | may not] contain a testamentary trust.

More damage is done to estates by doing nothing than by doing the wrong thing.

A codicil is a(n)

Estate tax liability may be reduced by a state death tax credit.

All living trusts are revocable.

In most states,the surviving spouse may be entitled to a portion of the estate beyond that granted in the will through the right of election.

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -Funeral instructions should be included in a [letter of instructions | your will].

INSTRUCTIONS: Choose the word or phrase in [ ] which will correctly complete the statement. -If you want to create a living trust that provides tax advantages,you will need to establish [a revocable | an irrevocable] trust.

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