Which of the Following Is Not a Valid Reason for Creating

question 12

Multiple Choice

Which of the following is not a valid reason for creating an irrevocable gift trust?

• A) An irrevocable living trust can be used to pass assets free from federal income taxes
• B) An irrevocable living trust can be used to pass assets free from federal estate taxes
• C) The individual can have the income distributed from the trust to one or more selected beneficiaries
• D) The person can specify who will inherit the principal upon death
• E) All of the above are valid reasons

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Definitions:

Logical Reasoning

Persuasive techniques that appeal to the prospect’s common sense by applying logic through reason.

Straightforward

something characterized by clarity, simplicity, and easiness to understand or do, without complexity or ambiguity.

Autosuggestion

A psychological technique involving self-induced suggestions to change behavior or improve performance by influencing the subconscious mind.

Office Furnishings

Items and accessories used to equip an office space, including desks, chairs, and decor.