If a State Has Adopted the Revised Uniform Principal and Income

question 76

Multiple Choice

If a state has adopted the Revised Uniform Principal and Income Act, which of the following statements is correct?

• A)The state law definition of trust income will preempt any other definitions.
• B)The definition of trust income in the trust document will preempt all other definitions.
• C)Under state law, tax-exempt interest will not be allocated to income.
• D)The definition of principal in the trust document must classify capital gains as principal.

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Definitions:

Stereotypes

Oversimplified generalizations about a group of people that often do not consider individual differences and can lead to biased judgments.

Prejudice

Preconceived opinion or bias against a person or group without sufficient justification.

Social Psychology

The scientific study of how individuals think, influence, and relate to one another within a societal context.

Altruism

The selfless concern for the well-being of others, often leading to acts of kindness without expectation of reward.