Classify Each of the Following Statements

question 128

Multiple Choice

Classify each of the following statements.
-Maggie purchased an insurance policy on Jim's life and designated Susan as the beneficiary.

• A)No taxable transfer occurs.
• B)Gift tax applies.
• C)Estate tax applies.

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Definitions:

Edema

Swelling caused by excess fluid trapped in the body's tissues, often affecting the legs, arms, or other areas.

Diabetic Retinopathy

A consequence of diabetes that leads to the deterioration of the blood vessels in the retina, the light-sensitive region at the back of the eye, impairing visual function.

Pathology

The study of diseases and the changes they cause in the structure and function of body tissues and organs.

Circulatory

Pertaining to the system of organs (heart, veins, arteries) responsible for the circulation of blood and lymph throughout the body.