A Crummey Trust

question 104

Multiple Choice

A Crummey trust

• A)provides the donor with the ability to retrieve the property.
• B)prohibits the beneficiary from withdrawing assets.
• C)allows the donor an annual exclusion for transfers.
• D)receives property that is not eligible for the annual exclusion.

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Definitions:

Direct Materials Cost Variance

The difference between the budgeted cost of materials for products and the actual cost incurred.

Direct Labor Rate Variance

The difference between the actual cost of labor per hour and the standard or expected cost, multiplied by the total labor hours worked.

Direct Labor Time Variance

The difference between the actual labor time spent on a product and the standard labor time expected, affecting product costs.

Standard Costs

Predetermined or estimated costs that are used as benchmarks for measuring the performance of actual costs in manufacturing or production.