Question 1

Your will would appoint a(n)____ to carry out the terms of the will.

Accepted Answer

A) family attorney 
B) executor 
C) tax accountant 
D) life insurance beneficiary 
E) administrator 
A) family attorney 
B) executor 
C) tax accountant 
D) life insurance beneficiary 
E) administrator

Question 2

Liquidity is important in an estate to pay for death costs and possible taxes.

Accepted Answer

A) True 
 B)False

Question 3

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.
-Federal law permits [a limited | an unlimited] deduction for gift tax purposes on property given to a spouse who is a U.S.citizen.

Accepted Answer

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

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.
-If a gift tax has to be paid,the [giver | recipient] of the gift will pay it.

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.
-The person writing a will is called the [decedent | testator].

Accepted Answer

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

Question 6

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 7

The decedent's personal representative is called a(n)

Accepted Answer

A) guardian. 
B) administrator. 
C) attorney. 
D) testator. 
E) successor. 
A) guardian. 
B) administrator. 
C) attorney. 
D) testator. 
E) successor.

Question 8

A joint tenancy with right of survivorship may consist of

Accepted Answer

A) a parent and child. 
B) a husband and wife. 
C) a brother and sister. 
D) none of these. 
E) any of these. 
A) a parent and child. 
B) a husband and wife. 
C) a brother and sister. 
D) none of these. 
E) any of these.

Question 9

The adjusted gross estate is calculated by subtracting any allowable marital deduction or charitable deduction from the gross estate.

Accepted Answer

A) True 
 B)False

Question 10

Bequests to close relatives who die before the testator will go to the relative's heirs unless the will includes other directions.

Accepted Answer

A) True 
 B)False

Question 11

The taxable estate is less than the adjusted gross estate.

Accepted Answer

A) True 
 B)False

Question 12

The basis of inherited property is

Accepted Answer

A) the cost of the property to the donor. 
B) the fair market value reported on the estate tax return. 
C) the fair market value minus the cost of the property. 
D) the fair market value plus the cost of the property. 
E) none of these. 
A) the cost of the property to the donor. 
B) the fair market value reported on the estate tax return. 
C) the fair market value minus the cost of the property. 
D) the fair market value plus the cost of the property. 
E) none of these.

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.
-Theresa and Ella,mother and daughter,own property as joint tenants with the right of survivorship.Ella [can | cannot] write a valid will leaving her part of this property to Bob Shockey.

Accepted Answer

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

Question 14

Minors can handle large sums of money and property.

Accepted Answer

A) True 
 B)False

Question 15

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.
-Funeral instructions should be included in a [letter of instructions | your will].

Accepted Answer

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

Question 16

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 would create a [living | testamentary] trust to be used during your lifetime.

Accepted Answer

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

Question 17

An estate plan is good only as long as it fits the needs,desires,and circumstances of the parties involved.

Accepted Answer

A) True 
 B)False

Your will would appoint a(n)____ to carry out the terms of the will.

Liquidity is important in an estate to pay for death costs and possible taxes.

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. -If a gift tax has to be paid,the [giver | recipient] of the gift will pay it.

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 person writing a will is called the [decedent | testator].

An estate plan would be least likely to need revision when

The decedent's personal representative is called a(n)

A joint tenancy with right of survivorship may consist of

The adjusted gross estate is calculated by subtracting any allowable marital deduction or charitable deduction from the gross estate.

Bequests to close relatives who die before the testator will go to the relative's heirs unless the will includes other directions.

The taxable estate is less than the adjusted gross estate.

The basis of inherited property is

Minors can handle large sums of money and property.

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. -Funeral instructions should be included in a [letter of instructions | your will].

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 would create a [living | testamentary] trust to be used during your lifetime.

An estate plan is good only as long as it fits the needs,desires,and circumstances of the parties involved.

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

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Exam 15: Preserving Your Estate

Your will would appoint a(n)____ to carry out the terms of the will.

Liquidity is important in an estate to pay for death costs and possible taxes.

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. -If a gift tax has to be paid,the [giver | recipient] of the gift will pay it.

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 person writing a will is called the [decedent | testator].

An estate plan would be least likely to need revision when

The decedent's personal representative is called a(n)

A joint tenancy with right of survivorship may consist of

The adjusted gross estate is calculated by subtracting any allowable marital deduction or charitable deduction from the gross estate.

Bequests to close relatives who die before the testator will go to the relative's heirs unless the will includes other directions.

The taxable estate is less than the adjusted gross estate.

The basis of inherited property is

Minors can handle large sums of money and property.

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. -Funeral instructions should be included in a [letter of instructions | your will].

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 would create a [living | testamentary] trust to be used during your lifetime.

An estate plan is good only as long as it fits the needs,desires,and circumstances of the parties involved.

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