American College Fundamentals of Estate Planning test - HS330 Exam Practice Test

A. a gratuitous transfer of real property to a revocable intervivos trust

B. a gratuitous transfer of real property with a reserved right to use and enjoy it for life

C. the gift taxes paid last year on a gratuitous transfer of real property

D. an outright, gratuitous transfer of real property in contemplation of death

A. The beneficiary has moved his or her residence to a distant state.

B. The beneficiary is not able to get along with the present corporate trustee.

C. A shift in trustsitus is desirable because of changes in law.

D. The beneficiary has been successful with investments and wants to manage the trust assets.

A. 2 only

B. Neither 1 nor 2

C. Both 1 and 2

D. 1 only

A. A guardian named in a deceased parent's will is not necessarily binding on the court.

B. A special guardian can be appointed by the court to protect a minor's rights in a legal proceeding.

C. A guardian of the person of a minor may not necessarily be the guardian of the minor's property.

D. A guardian has equitable title to the property he administers for the minor.

A. provide for the education of thedonee

B. obtain privacy that is not possible to obtain through testamentary transfers

C. reduce probate and administrative costs

D. avoid claims of creditors evidenced by liens

A. 2 only

B. Neither 1 nor 2

C. Both 1 and 2

D. 1 only

A. 2 only

B. Neither 1 nor 2

C. Both 1 and 2

D. 1 only

A. A direct cash payment of $28,000 from a grandparent to a private prep school to cover the tuition costs for her grandchild.

B. A direct cash gift of $50,000 from a grandparent to his grandchild if such grandchild's parents are still alive.

C. A termination of a trust at the death of thenonskip life income beneficiary with the remainder distributed solely to skip persons.

D. A distribution to a grandchild from a sprinkle trust created by a grandparent to benefit both skip and non-skip beneficiaries.

A. Two brothers own equal undivided interests in a piece of real property, with each brother being able to divest himself of his interest by sale, gift, or will.

B. Two brothers own equal fractional interests in a piece of real property and at the death of one of the brothers the survivor will own the entire piece of property.

C. Two brothers are equal partners in a general partnership that owns a piece of real property used in the partnership business.

D. Two brothers own equal amounts of all the common stock in a corporation, the only asset of which is real property.