Your Rich Uncle Establishes a Trust in Your Name and Deposits

question 71

Multiple Choice

Your rich uncle establishes a trust in your name and deposits $150,000 in it. The trust pays a guaranteed 4% rate of return. How much will you receive each year if the trust is required to pay
You all of the interest earnings on an annual basis?

• A) $3,750
• B) $4,000
• C) $4,500
• D) $5,400
• E) $6,000

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Definitions:

Bowel Resection

A surgical procedure to remove part of the intestine due to conditions such as cancer, blockages, or inflammatory bowel disease.

Dry Mouth

Dry Mouth, also known as xerostomia, is a condition characterized by a lack of saliva production, leading to discomfort, difficulty in swallowing, and increased risk of dental problems.

Ice Chips

Small pieces of ice used either to soothe the mouth or to prevent dehydration in patients unable to drink water normally.

Paralytic Ileus

Temporary (24 to 48 hours) cessation of intestinal movement caused by surgery that involves direct handling of the intestines.