Which of the Following Transactions Constitutes a Completed Gift Made

question 40

Multiple Choice

Which of the following transactions constitutes a completed gift made by Ellen, a widow, in the current year?

• A)Ellen deposits $100,000 cash and Matt deposits $5,000 cash into a joint savings account. Matt does not withdraw anything during the current year.
• B)Ellen names Larry the beneficiary of a $100,000 life insurance policy on Ellen's life. The beneficiary designation is revocable.
• C)Ellen transfers property to a revocable trust, naming the bank as trustee. The trustee must pay out all the income to Ed over Ed's lifetime, beginning next year.
• D)Ellen reimburses her granddaughter $15,000 for her tuition at medical school.

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Definitions:

White Rat

Traditionally used in scientific research, especially in psychology and behavioral studies, due to its ease of handling and consistent biological traits.

Loud Noise

Sound that is at a high volume level, potentially causing disturbance or discomfort.

Startle and Fear Response

A physiological and psychological reaction to unexpected stimuli or perceived threats, involving autonomic nervous system activation.

Oedipus Complex

A Freudian concept asserting that a child experiences unconscious desire for the opposite-sex parent and jealousy towards the same-sex parent, typically between the ages of three and five.