Chrissie and Edna both created trusts but used different approaches:ChrissieChrissie created a trust with assets that will go to charity upon her death. Chrissie cannot change the terms of the trust but enjoys theincome tax write-off for a charitable contribution.What kind of trust did Chrissie most likely create?O An irrevocable charitable remainder trustO A revocable living trustO A testamentary trustO An irrevocable living trustEdnaEdna and her husband just retired. They intend to travel frequently and enjoy their retirement without counting their pennies like theyhad to for many years. They created trusts for their minor grandchildren to be funded with any money left over, but not until after theydie.What kind of trust did Edna most likely create?O A testamentary trustO An irrevocable charitable remainder trustO A revocable living trustO An irrevocable living trust 10. Using trusts to transfer assetsTrusts are used to transfer assets from an estate. The contractual nature of a trustprobating its assets upon the death of theand mayfederal estate tax. An attorney who practiceslaw should be hired todraft the trust in order to ensure that all of the benefits of establishing a trust are realized.Rebecca and Maria both created trusts but used different approaches:RebeccaRebecca created a trust in which she has the right to change its terms or even cancel it. The trust goes into effect while she is still alive.When Rebecca dies the assets will be considered part of her estate.What kind of trust did Rebecca most likely create?O A testamentary trustAn irrevocable charitable remainder trustA revocable living trustO An irrevocable living trustMariaMaria is a successful professional who has three competitive children. To avoid fueling sibling rivalry, Maria created separate trusts foreach child with the same amount of money funding each trust, available on the child's 21st birthday whether Maria is dead or alive.Maria has no power to change the terms of the trusts regardless of how her children conduct their lives.What kind of trust did Maria most likely create?O An irrevocable living trustO A revocable living trustO An irrevocable charitable remainder trustO A testamentary trust

The trust Chrissie most likely to create is - A irrevocable living trust Explanation An irrevocable…

Chrissie and Edna both created trusts but used different approaches: Chrissie Chrissie created a trust with assets that will go to charity upon her death. Chrissie cannot change the terms of the trust but enjoys the income tax write-off for a charitable contribution. What kind of trust did Chrissie most likely create? An irrevocable charitable remainder trust A revocable living trust A testamentary trust An irrevocable living trust Edna Edna and her husband just retired. They intend to travel frequently and enjoy their retirement without counting their pennies like they had to for many years. They created trusts for their minor grandchildren to be funded with any money left over, but not until after they die. What kind of trust did Edna most likely create? A testamentary trust An irrevocable charitable remainder trust A revocable living trust O An irrevocable living trust

Chrissie and Edna both created trusts but used different approaches: Chrissie Chrissie created a trust with assets that will go to charity upon her death. Chrissie cannot change the terms of the trust but enjoys the income tax write-off for a charitable contribution. What kind of trust did Chrissie most likely create? An irrevocable charitable remainder trust A revocable living trust A testamentary trust An irrevocable living trust Edna Edna and her husband just retired. They intend to travel frequently and enjoy their retirement without counting their pennies like they had to for many years. They created trusts for their minor grandchildren to be funded with any money left over, but not until after they die. What kind of trust did Edna most likely create? A testamentary trust An irrevocable charitable remainder trust A revocable living trust O An irrevocable living trust

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Chrissie and Edna both created trusts but used different approaches:
Chrissie
Chrissie created a trust with assets that will go to charity upon her death. Chrissie cannot change the terms of the trust but enjoys the
income tax write-off for a charitable contribution.
What kind of trust did Chrissie most likely create?
O An irrevocable charitable remainder trust
O A revocable living trust
O A testamentary trust
O An irrevocable living trust
Edna
Edna and her husband just retired. They intend to travel frequently and enjoy their retirement without counting their pennies like they
had to for many years. They created trusts for their minor grandchildren to be funded with any money left over, but not until after they
die.
What kind of trust did Edna most likely create?
O A testamentary trust
O An irrevocable charitable remainder trust
O A revocable living trust
O An irrevocable living trust

10. Using trusts to transfer assets
Trusts are used to transfer assets from an estate. The contractual nature of a trust
probating its assets upon the death of the
and may
federal estate tax. An attorney who practices
law should be hired to
draft the trust in order to ensure that all of the benefits of establishing a trust are realized.
Rebecca and Maria both created trusts but used different approaches:
Rebecca
Rebecca created a trust in which she has the right to change its terms or even cancel it. The trust goes into effect while she is still alive.
When Rebecca dies the assets will be considered part of her estate.
What kind of trust did Rebecca most likely create?
O A testamentary trust
An irrevocable charitable remainder trust
A revocable living trust
O An irrevocable living trust
Maria
Maria is a successful professional who has three competitive children. To avoid fueling sibling rivalry, Maria created separate trusts for
each child with the same amount of money funding each trust, available on the child's 21st birthday whether Maria is dead or alive.
Maria has no power to change the terms of the trusts regardless of how her children conduct their lives.
What kind of trust did Maria most likely create?
O An irrevocable living trust
O A revocable living trust
O An irrevocable charitable remainder trust
O A testamentary trust

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