Identify Which of the Following Statements Is True

question 104

Multiple Choice

Identify which of the following statements is true.

• A) A reversionary interest means a chance exists that the property may pass back to the transferor under the terms of the transfer.
• B) Reversionary interests of less than 5% are includible in the gross estate.
• C) If a reversionary interest exceeds 3% of the property's value, the amount that is included in the estate is not the value of the reversionary interest, but rather the date- of- death value of the gifted property less the value of intervening life estates.
• D) All of the above are false.

---

Definitions:

Financial Manager

A professional responsible for overseeing an organization's financial health, including planning, risk management, and reporting.

Financial Plan

A comprehensive evaluation of an individual’s or organization’s current and future financial state by using currently known variables to predict future cash flows, asset values, and withdrawal plans.

Additional Assets

New or extra resources, including property and equipment, acquired by a company to support its operations.

Expected Level

Refers to the anticipated or projected standard of performance, quality, or outcome in a given context.