In the Current Year, a Trust Has Distributable Net Income

question 94

Multiple Choice

In the current year, a trust has distributable net income (DNI) of $30,000. During the year, the trust makes a mandatory distribution to Sarah of $5,000 and a discretionary distribution of $10,000 to Kyle. The trust has no tax-exempt income. The distribution deduction of the trust is

• A)$30,000.
• B)$15,000.
• C)$10,000.
• D)$5,000.

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Definitions:

Disparate Impact

A form of discrimination that arises when an employer’s policy or practice appears to apply to everyone equally but its actual effect is that it disproportionately limits employment opportunities for a protected class.

Prove Discrimination

The process of demonstrating that unlawful discrimination has occurred, typically requiring evidence of unfair treatment based on race, gender, age, religion, or other protected characteristics.

Age Discrimination

refers to unfair treatment or practices against individuals based on their age, particularly in employment contexts.

Employment Act

A legislative act that sets requirements for employers regarding the treatment, payment, and conditions of their employees.