Reyes Contributed Assets to a Trust, Designating Daughter Maria as the Income

question 91

True/False

Reyes contributed assets to a trust, designating daughter Maria as the income beneficiary, and grandson Julio as the remainder beneficiary. This year, fiduciary accounting income was $50,000. The trustee paid $5,000 of this amount as premiums for a life insurance policy on Anita, Reyes' wife. Reyes pays Federal income tax on $5,000 for the year.

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Definitions:

Effortful Memory

A type of memory that requires conscious effort and attention to encode and recall information, opposed to automatic memory processes.

Procedural Memory

A type of long-term memory responsible for knowing how to perform different actions and skills, essentially the memory of how to do things.

Recall

The cognitive process of retrieving information from memory, which can range from remembering past events to recollecting learned facts.

Semantic Encoding

The process of encoding sensory information into memory in a meaningful way, associating it with concepts and knowledge already in memory.