The Primary Purpose of Using a Living Trust Is to Avoid

question 60

True/False

The primary purpose of using a living trust is to avoid probate associated with using a will.

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Definitions:

Dividend Payout Ratio

A financial metric that indicates the percentage of a company's earnings paid out to shareholders in the form of dividends.

Current Assets

Assets of a company that are expected to be sold, consumed, or converted into cash within one year or within the normal operating cycle of the business.

Average Collection Period

A metric that calculates the average time taken to receive payments from customers, indicating the efficiency of a company's credit and collection policies.

Days' Sales In Inventory

A financial metric indicating the average number of days that a company holds its inventory before selling it.