In 2020, Paul Transfers $1,000,000 to a Trust Benefiting His

question 86

Multiple Choice

In 2020, Paul transfers $1,000,000 to a trust benefiting his three children. As trustee, he has the power to determine the amount of distributions each year. Paul dies in the current year when the trust has a value of $1,200,000. How much of the trust's value is included in Paul's estate?

• A)$0
• B)$400,000
• C)$1,000,000
• D)$1,200,000

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Definitions:

Cochlea

A spiral-shaped cavity in the inner ear that plays a crucial role in the sense of hearing by converting sound vibrations into neural signals.

Semicircular Canals

Structures within the inner ear vital for maintaining balance and equilibrium, detecting rotational movements of the head.

Utricle

A part of the inner ear that is involved in sensing linear accelerations and head-positions.

Vestibule

An entrance hall inside a building which leads to various rooms or spaces, or in anatomy, a space or cavity at the entrance of a canal, notably within the ear or nose.