Exam 15: Preserving Your Estate

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. -[Most | Very few] people need to do estate planning.

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

A will is required by state law.

When you die intestate,you have given the court or state the privilege of determining:

The marital deduction provides no exemption from taxation when any property is transferred between spouses.

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 need to make a minor revision in your will.You could write a [codicil | new will].

The intestate process is federally mandated,and is common across all states.

Typically,a will must be signed by two witnesses to be valid.

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. -Applicable exclusion amount from estate tax is [$3,500,000 | $5,340,000] for 2014.

The appointment clause in a will affirms the apportionment of taxes among various beneficiaries of the will.

Those who could use trust services include all the following except:

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)| Crummey] trust must be distributed by the time the beneficiary turns 21.

Estate planning is designed to:

An executor plays an important function during the probate process.

The applicable exclusion amount from estate tax is $5,340,000 for 2014.

Which of the following forms of ownership do not have rights of survivorship?

A will may be invalid if the testator was under undue influence of another person.

If you die intestate,federal law dictates the disposition of your estate.

Property held in different states does not complicate the estate planning process.

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. -Your estate is more likely to be subject to [state | federal] death taxes.