5. Lori, a Florida resident, has a traditional IRA with a fair market value of $100,000 at her death. The IRA was setup through a large bank several years ago and she named her daughter (Beth) as the beneficiary. In Lori's will document she stated that she wanted her brother (Tommy) to get the IRA assets. On her deathbed, she promised them to her grandson (Mike). Legally, who will get the IRA assets?

A) The state of Florida
B)
Brother Tommy
C)
Daughter Beth
D)
Grandson Mike

6.
Which of the following are successful probate avoidance strategies?
(1) TOD
(2) POD
(3) Individual brokerage accounts
(4) Revocable trusts
(5) Tenancy in common

A) 1, 2 and 4 only
B)
1, 2 and 5 only
C)
3, 4 and 5 only
D) All of the above
7. A person that dies without a will is said to have died how?
A) Intestate
B)
Intra-state
C)
Per stirpes
D) By designated beneficiary

8. All of the following are disadvantages of the probate process EXCEPT:
A) Time consuming
B)
Creditor notification
C)
Expensive
D) Public exposure


9. Which of the following is NOT a true statement concerning the probate and transfer process?

A) Both revocable and irrevocable trusts avoid probate
B)
Life insurance proceeds pass by contract
C)
A specific bequest leaves a specific asset to a specified person
D) Annuity accounts pass by transfer in the decedent's will




Answer Key

Related Articles
  1. Personal Finance

    Do Retirement Accounts Go Through Probate?

    It's tough when retirement accounts have go through probate, tying up those funds after death. Here is how you can prevent that from happening.
  2. Retirement

    Moving Retirement Plan Assets: How To Avoid Mistakes

    Sometimes things go wrong in a simple transfer of funds. Make sure you know how to avoid penalties.
  3. Retirement

    Retirement Savings: How Much Is Enough?

    While the recommended savings rate has historically been 10%, indications are that today, most Americans are putting away less than 5%
  4. Retirement

    Which Estate Transfer Technique is Right for You?

    This article explains the difference between the two estate transfer methods -- a will and a trust, and the circumstances under which each can be used.
  5. Financial Advisor

    Why You Need to Find the Right IRA Beneficiary

    It definitely matters who you pick as your IRA beneficiary—and how you go about it. And in some cases, your best option may be to go with a trust.
  6. Retirement

    Designating A Trust As Retirement Beneficiary

    Designating a trust as your IRA beneficiary can be beneficial, but it requires proper planning to avoid problems.
  7. Investing

    The Benefits And Pitfalls Of Joint Tenancy

    This arrangement allows beneficiaries to access your account without having to go to court.
  8. Personal Finance

    10 Financial Gifts To Give Your Daughter

    Teaching your daughter about money may be a gift you can give that can last for a lifetime.
Frequently Asked Questions
  1. Depreciation Can Shield Taxes, Bolster Cash Flow

    Depreciation can be used as a tax-deductible expense to reduce tax costs, bolstering cash flow
  2. What schools did Warren Buffett attend on his way to getting his science and economics degrees?

    Learn how Warren Buffett became so successful through his attendance at multiple prestigious schools and his real-world experiences.
  3. How many attempts at each CFA exam is a candidate permitted?

    The CFA Institute allows an individual an unlimited amount of attempts at each examination.Although you can attempt the examination ...
  4. What's the average salary of a market research analyst?

    Learn about average stock market analyst salaries in the U.S. and different factors that affect salaries and overall levels ...
Trading Center