American College HS330 Valid Dump : Fundamentals of Estate Planning test

HS330 real exams

Exam Code: HS330

Exam Name: Fundamentals of Estate Planning test

Updated: Dec 15, 2024

Q & A: 400 Questions and Answers

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American College Fundamentals of Estate Planning test Sample Questions:

1. An individual who is a resident of State W is also the sole proprietor of a business located in State
W. He owns real property located in State X that is used by the proprietorship. While on vacation in State Y, the individual meets an untimely death. Under the terms of his will, his entire estate is bequeathed to a resident of State Z.
Which state will tax the real property used by the proprietorship?

A) State Y
B) State W
C) State X
D) State Z


2. Which of the following statements concerning antenuptial agreements is (are) correct?
1.They are frequently used to protect the interests of children of former marriages.
2.They can legally deprive a surviving spouse of his or her elective share of a deceased spouse's estate.

A) 1 only
B) Both 1 and 2
C) 2 only
D) Neither 1 nor 2


3. Having a will enables an individual to do which of the following?
1.Make testamentary bequests to selected charitable organizations
2.Make specific bequests to selected friends

A) 1 only
B) Both 1 and 2
C) 2 only
D) Neither 1 nor 2


4. Which of the following is an example of a taxable gift for federal gift tax purposes?

A) Instead of parents paying an outside executive $60,000, a son runs their business for 8 months without charging a fee.
B) The parents of a married son permit their son and his family to use a summer cottage that rents for $3,000 per month on a rent-free basis.
C) A father cancels a $50,000 note his daughter gave him when he made a loan to her 2 years ago.
D) A father gives his 19-year-old daughter a note promising to give her his Rolls Royce when she reaches the age of 21.


5. All the following transfers are subject to the generation-skipping transfer tax (GSTT) EXCEPT:

A) A distribution to a grandchild from a sprinkle trust created by a grandparent to benefit both skip and non-skip beneficiaries.
B) A termination of a trust at the death of thenonskip life income beneficiary with the remainder distributed solely to skip persons.
C) A direct cash payment of $28,000 from a grandparent to a private prep school to cover the tuition costs for her grandchild.
D) A direct cash gift of $50,000 from a grandparent to his grandchild if such grandchild's parents are still alive.


Solutions:

Question # 1
Answer: C
Question # 2
Answer: B
Question # 3
Answer: B
Question # 4
Answer: C
Question # 5
Answer: C

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