Estate Planning -Exam 1 questions
with correct answers
Kristen reviewed a new client's financial plan that was developed eight years ago. Her client has
subsequently inherited $7 million, acquired property that is not mentioned in his will, and is
showing sings of early dementia. What should Kristen do to help her client? - ANS
✔✔Accompany her client to an appointment with his estate planning attorney
Murray is working with his clients, Josh and Mandy, to help them implement a new estate plan
developed by an estate planning attorney. If Murray were to perform the following tasks, which
actions would constitute the unauthorized practice of law? - ANS ✔✔adding a codicil to a will
Which of the following statements concerning a fiduciary is incorrect? - ANS ✔✔A CFP
practitioner who charges commissions for products sold to clients is not a fiduciary
An executor must perform all of the following actions, except - ANS ✔✔choose a corporate
fiduciary to manage the decedent's real property
which of the following factors could affect a client's current estate plan - ANS ✔✔all of the
above
it is important for a financial planner to review a client's will for all of the following reasons,
except - ANS ✔✔to ensure that the will provides burial instructions at the client's death
Sally has received a life estate in a vacation home in the Outer Banks from her great aunt.
Following Sally's death, Jake will receive the property outright. Which of the following
statements is NOT correct - ANS ✔✔Sally may bequeath the property to her children following
her death
, All of the following statements regarding property held as tenants by the entirely are correct
except - ANS ✔✔Either two spouses or a parent and child may hold property as tenants by the
entirely
Which of the following statements regarding property owned jointly with rights of survivorship
between non-spouses is correct - ANS ✔✔If joint tenants sell property they are each deemed to
have received half of the proceeds of the sale
What is the value of assets that will be included in Shawn's gross estate - ANS ✔✔1,250,000
What is the value of assets that will be subject to probate at Shawn's death - ANS ✔✔250,000
Who will receive the family vacation home - ANS ✔✔Toby
Who will receive the stock account - ANS ✔✔Whoever Shawn named in his will
Morgan and Jasmine are married and moved from California to North Carolina. Which of the
following assets will be considered a community asset in North Carolina - ANS ✔✔Morgan and
Jasmine use the proceeds of the sale of their California home to purchase a new primary
residence in North Carolina
All of the following are true with respect to community property except - ANS ✔✔Community
property is a form of property ownership between spouses and non-spouses
Sam and Shana are married. They move from Delaware to Texas. Which of the following assets
will be deemed community property - ANS ✔✔Sam's employer in Texas has a 401K plan and
Sam funds it with the maximum amount that is allowed each year
Which of the following is true (regarding Larry and Amy's move from New York to California) -
ANS ✔✔Larry's 403b will be considered community property
with correct answers
Kristen reviewed a new client's financial plan that was developed eight years ago. Her client has
subsequently inherited $7 million, acquired property that is not mentioned in his will, and is
showing sings of early dementia. What should Kristen do to help her client? - ANS
✔✔Accompany her client to an appointment with his estate planning attorney
Murray is working with his clients, Josh and Mandy, to help them implement a new estate plan
developed by an estate planning attorney. If Murray were to perform the following tasks, which
actions would constitute the unauthorized practice of law? - ANS ✔✔adding a codicil to a will
Which of the following statements concerning a fiduciary is incorrect? - ANS ✔✔A CFP
practitioner who charges commissions for products sold to clients is not a fiduciary
An executor must perform all of the following actions, except - ANS ✔✔choose a corporate
fiduciary to manage the decedent's real property
which of the following factors could affect a client's current estate plan - ANS ✔✔all of the
above
it is important for a financial planner to review a client's will for all of the following reasons,
except - ANS ✔✔to ensure that the will provides burial instructions at the client's death
Sally has received a life estate in a vacation home in the Outer Banks from her great aunt.
Following Sally's death, Jake will receive the property outright. Which of the following
statements is NOT correct - ANS ✔✔Sally may bequeath the property to her children following
her death
, All of the following statements regarding property held as tenants by the entirely are correct
except - ANS ✔✔Either two spouses or a parent and child may hold property as tenants by the
entirely
Which of the following statements regarding property owned jointly with rights of survivorship
between non-spouses is correct - ANS ✔✔If joint tenants sell property they are each deemed to
have received half of the proceeds of the sale
What is the value of assets that will be included in Shawn's gross estate - ANS ✔✔1,250,000
What is the value of assets that will be subject to probate at Shawn's death - ANS ✔✔250,000
Who will receive the family vacation home - ANS ✔✔Toby
Who will receive the stock account - ANS ✔✔Whoever Shawn named in his will
Morgan and Jasmine are married and moved from California to North Carolina. Which of the
following assets will be considered a community asset in North Carolina - ANS ✔✔Morgan and
Jasmine use the proceeds of the sale of their California home to purchase a new primary
residence in North Carolina
All of the following are true with respect to community property except - ANS ✔✔Community
property is a form of property ownership between spouses and non-spouses
Sam and Shana are married. They move from Delaware to Texas. Which of the following assets
will be deemed community property - ANS ✔✔Sam's employer in Texas has a 401K plan and
Sam funds it with the maximum amount that is allowed each year
Which of the following is true (regarding Larry and Amy's move from New York to California) -
ANS ✔✔Larry's 403b will be considered community property
