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In Contrasting the Computation of the Federal Gift and Estate

question 63

Essay

In contrasting the computation of the Federal gift and estate taxes, are past taxable gifts handled in the same fashion? Explain.


Definitions:

Model

In science and engineering, a model is a simplified representation of a system or phenomenon, used to simulate and analyze its behavior.

Applicable

Capable of or suitable for being applied; relevant or appropriate in a given situation.

Leverage

The use of various financial instruments or borrowed money to increase the potential return of an investment.

Linear Model

A mathematical representation of a relationship between two or more variables where the effect is proportional to the cause.

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