Identify Which of the Following Statements Is True

question 43

Multiple Choice

Identify which of the following statements is true.

• A) Prospective donors should not dispose of property that has declined in value by selling it rather than gifting it.
• B) If the gifted property's FMV on the date of the gift exceeds its adjusted basis and the donor pays no gift tax, the donee's basis is the same as the donor's basis if the property is sold for a loss.
• C) A $15,000 annual exclusion per donee is available for both gift tax and estate tax purposes.
• D) All of the above are false.

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Definitions:

Frontal

Relating to the front part; in anatomy, it often refers to the frontal lobe of the brain, key in controlling important cognitive skills.

Parietal

Relating to the wall of any cavity.

Projection Fibers

Nerve fibers that connect the cerebral cortex to other parts of the brain and to the spinal cord, facilitating communication between the brain and the rest of the body.

Cerebrum

The largest part of the brain, composed of the right and left hemispheres, responsible for complex brain functions such as thought and action.