Which of the Following Statements Is (Are) True for Both

question 2

Multiple Choice

Which of the following statements is (are) True for both gratuitous and testamentary transfers?

• A) An applicable credit of up to $15,000 per donee per year reduces the tax on any transfer.
• B) An annual exclusion offsets any transfer up to $15,000.
• C) An election can be made to split a transfer between spouses.
• D) A charitable and a marital deduction are allowed in computing the taxable transfer.
• E) All of the choices are True.

---

Definitions:

Equity of Outcomes

A principle often considered in justice and fairness contexts, referring to the fairness in the distribution of resources or rewards among individuals.

Gender Prejudice

Preconceived opinions or judgments about individuals or groups based on their gender, often resulting in discrimination or inequality.

Racial Prejudice

Preconceived judgments or biases against individuals based on their race or ethnicity.

Groupthink

A psychological phenomenon occurring within a group of people, in which the desire for harmony and conformity results in an irrational or dysfunctional decision-making outcome.