A (First-, Second-, Third-) Tier Distribution Is One That the Trust

question 121

Short Answer

A (first-, second-, third-) tier distribution is one that the trust agreement requires to be made by the trustee to the income beneficiary.

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Definitions:

Due Date

The specific day by which a task, obligation, or payment is expected to be completed or fulfilled.

Gross Collection Ratio

Includes the total payments received by a practice for a specific period of time, not including any write-offs. The gross collection ratio can be calculated by taking the total payments for the specific period divided by the total charges, again without considering write-offs.

Percentage

A portion of a whole expressed as a fraction of 100, used to describe proportions or compare quantities.

Gross Collection Ratio

A financial metric that measures the total amount of revenue collected versus the total amount charged.