Question 1

Identify four ways a trust can be terminated.

Accepted Answer

A trust ends:
(a)on the date indicated b...

Question 2

Which of the following is NOT required to create a valid trust?

Accepted Answer

A)  legal age and sound mind of the grantor
B)  witnesses
C)  a beneficiary(ies) 
D)  property transferred to the trustE) All of the above
F) C) and D) B

Question 3

Property of a person who dies without a will is distributed according to intestacy laws.

Accepted Answer

A) True 
 B)False

Question 4

How many witnesses are required for a nuncupative will to be valid?

Accepted Answer

A)  one
B)  two
C)  five
D)  sevenE) B) and D)
F) None of the above

Question 5

Dr. Gavornne advises his very ill patients to prepare a living will. The purpose of a living will is to

Accepted Answer

A)  make a disposition of property.
B)  express a desire not to have extreme medical treatment that would prolong their lives.
C)  transfer life insurance.
D)  consent to organ donation.E) B) and D)
F) B) and C)

Question 6

Legal requirements for a will depend on state law, but generally include all but which of the following?

Accepted Answer

A)  a writing
B)  signatures of at least three witnesses
C)  the testator's signature
D)  witnesses who will not inherit under the willE) A) and C)
F) All of the above

Question 7

The only function of a will is to dispose of a person's property upon death.

Accepted Answer

A) True 
 B)False

Question 8

Estate planning has two primary goals: to ensure property is distributed as the owner desires and to minimize estate taxes.

Accepted Answer

A) True 
 B)False  True

Question 9

Myron had two children, Cheryl and Pete, who predeceased him. Cheryl had three children and Pete had one child. Myron had a will. Which of the following is true?

Accepted Answer

A)  If Myron's will indicates that the issue are to inherit per stirpes , Pete's child will receive one half of Myron's estate.
B)  If Myron's will indicates that the issue are to inherit per stirpes , Pete's child will receive one fourth of Myron's estate.
C)  If Myron's will indicates that the issue are to inherit per capita , Pete's child will receive one half of Myron's estate.
D)  If Myron's will indicates the issue are to inherit per capita , each of Cheryl's children will receive one sixth of Myron's estate.E) None of the above
F) B) and D)

Question 10

A later will revokes a prior will only if that revocation is clearly stated.

Accepted Answer

A) True 
 B)False

Question 11

Which is true of an inter vivos trust?

Accepted Answer

A)  It is created by a will.
B)  The grantor cannot serve as trustee.
C)  It is established while the grantor is still alive.
D)  Such a trust is not revocable.E) A) and B)
F) B) and C) C

Question 12

Which of the following is true about wills?

Accepted Answer

A)  A will can be amended to change specific terms by execution of a codicil.
B)  The testatrix cannot disinherit her minor children without stating a reason in the will.
C)  If the will meets the legal technicalities, the surviving spouse cannot override it.
D)  Once a will is written, it cannot be changed.E) A) and B)
F) A) and C)

Question 13

Per capita means each heir gets an equal share of an estate.

Accepted Answer

A) True 
 B)False

Question 14

A child who is left nothing under the parent's will is called a

Accepted Answer

A)  beneficiary.
B)  decedent.
C)  pretermitted child.
D)  settlor.E) All of the above
F) A) and C)

Question 15

Which of the following does NOT act as a revocation of a will?

Accepted Answer

A)  creating a codicil
B)  the testator putting an X through it
C)  physically destroying the will by intentionally shredding it
D)  signing a new will that expressly revokes prior willsE) B) and C)
F) A) and C)

Question 16

Discuss the differences between a will and a trust.

Accepted Answer

A will is an instrument that helps a per...

Question 17

An executor who is related to the testator is not entitled to compensation.

Accepted Answer

A) True 
 B)False

Question 18

In order to travel extensively and not worry about handling her affairs, Lee transfers most of her assets into a trust, with her bank serving as trustee. She has created a(n) ________ trust.

Accepted Answer

A)  travel
B)  testamentary
C)  constructive
D)  inter vivosE) C) and D)
F) A) and C)

Question 19

Experts estimate that more than _______ percent of the population will not be capable of making their own medical decisions at the end of their lives.

Accepted Answer

A)  25
B)  50
C)  75
D)  90E) A) and C)
F) All of the above

Question 20

The major disadvantage of a trust is

Accepted Answer

A)  expense.
B)  lack of privacy.
C)  an often lengthy probate process.
D)  lack of control.E) A) and D)
F) A) and C)

Exam 30: Estate Planning

Identify four ways a trust can be terminated.

Correct AnswerverifiedA trust ends:(a)on the date indicated b...View AnswerShow Answer

Which of the following is NOT required to create a valid trust?

Correct AnswerverifiedB

Property of a person who dies without a will is distributed according to intestacy laws.

Correct AnswerverifiedShow Answer

How many witnesses are required for a nuncupative will to be valid?

Correct AnswerverifiedShow Answer

Dr. Gavornne advises his very ill patients to prepare a living will. The purpose of a living will is to

Correct AnswerverifiedShow Answer

Legal requirements for a will depend on state law, but generally include all but which of the following?

Correct AnswerverifiedShow Answer

The only function of a will is to dispose of a person's property upon death.

Correct AnswerverifiedShow Answer

Estate planning has two primary goals: to ensure property is distributed as the owner desires and to minimize estate taxes.

Correct AnswerverifiedTrue

Myron had two children, Cheryl and Pete, who predeceased him. Cheryl had three children and Pete had one child. Myron had a will. Which of the following is true?

Correct AnswerverifiedShow Answer

A later will revokes a prior will only if that revocation is clearly stated.

Correct AnswerverifiedShow Answer

Which is true of an inter vivos trust?

Correct AnswerverifiedC

Which of the following is true about wills?

Correct AnswerverifiedShow Answer

Per capita means each heir gets an equal share of an estate.

Correct AnswerverifiedShow Answer

A child who is left nothing under the parent's will is called a

Correct AnswerverifiedShow Answer

Which of the following does NOT act as a revocation of a will?

Correct AnswerverifiedShow Answer

Discuss the differences between a will and a trust.

Correct AnswerverifiedA will is an instrument that helps a per...View AnswerShow Answer

An executor who is related to the testator is not entitled to compensation.

Correct AnswerverifiedShow Answer

In order to travel extensively and not worry about handling her affairs, Lee transfers most of her assets into a trust, with her bank serving as trustee. She has created a(n) ________ trust.

Correct AnswerverifiedShow Answer

Experts estimate that more than _______ percent of the population will not be capable of making their own medical decisions at the end of their lives.

Correct AnswerverifiedShow Answer

The major disadvantage of a trust is

Correct AnswerverifiedShow Answer

Correct Answer
verified
A trust ends:
(a)on the date indicated b...
View Answer

Correct Answer
verified
B

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
True

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
C

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
A will is an instrument that helps a per...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified