AAMS EXAM 2025-2026 ACTUAL COMPLETE REAL
EXAM QUESTIONS AND CORRECT ANSWERS
(VERIFIED ANSWERS) ALREADY GRADED A+
/ NEWEST EXAM /JUST RELEASED!!
What type of strategy does Tactical Asset Allocation use? -
ANSWER-Tactical asset allocation uses securities selection
and market timing techniques to shift assets from those
perceived to be overvalued to those that are perceived to be
undervalued.
If a shareholder participates in a public utilitie's dividend
reinvestment program, how are the dividends taxed? -
ANSWER-The shareholder is treated as if he or she has
received a cash dividend equal to the FMV of the shares under
the plan
T or F. Depreciation deductions are, in essence, converted
into long-term
capital gains upon sale of the realty. -
ANSWER-true
Income from a treasury bond is exempt from what type of tax? -
ANSWER-state
and
local
,REITS must distribute what percentage of its income to
not pay taxes? -
ANSWER-
90%
What is the main advantage of using a CRT funded with
appreciated stock? -
ANSWER-The donor can take an income tax deduction for
the current fair
market value of the stock, decreased by the present value
of the income
stream.
The nonworking spouse of a Social Security recipient is entitled
to what percentage of the recipient's retirement benefit while
the recipient is alive? -
ANSWER-50%
If a minimum distribution from an IRA is not taken in the
calendar year after reaching age 70½, there is a ____% excise
tax on the amount that should have been withdrawn. -
ANSWER-50%
Know the ins and outs of excess benefit plans. - ANSWER-true
Tor F. Unfunded Excess benefit plans have no filing or
disclosure requirements
under ERISA. -
ANSWER-True
, T or F. For qualified plans, an employer receives a deduction for
a contribution to an employee when the employee recognizes
the income. - ANSWER-false. For qualified plans, the employer
receives the deduction during the year the contribution was
made.
For non-qualified plans, when does the employer receive a
deduction for the contribution that was made for an employee?
- ANSWER-they receive when the employee recognizes it as
income
For a Rabbi Trust, when is the employer taxed? - ANSWER-
The employer is
taxed on taxable earnings as they accumulate
in the plan.
T or F. A funded deferred comp plan will be taxable to
an employee if
nonforfeitable. -
ANSWER-true
What type of life insurance is most frequently used to fund a
deferred comp
plan? - ANSWER-Corporate-owned Cash Value
life insurance
Is an excess benefit plan allowed to cover management and
non-management
EXAM QUESTIONS AND CORRECT ANSWERS
(VERIFIED ANSWERS) ALREADY GRADED A+
/ NEWEST EXAM /JUST RELEASED!!
What type of strategy does Tactical Asset Allocation use? -
ANSWER-Tactical asset allocation uses securities selection
and market timing techniques to shift assets from those
perceived to be overvalued to those that are perceived to be
undervalued.
If a shareholder participates in a public utilitie's dividend
reinvestment program, how are the dividends taxed? -
ANSWER-The shareholder is treated as if he or she has
received a cash dividend equal to the FMV of the shares under
the plan
T or F. Depreciation deductions are, in essence, converted
into long-term
capital gains upon sale of the realty. -
ANSWER-true
Income from a treasury bond is exempt from what type of tax? -
ANSWER-state
and
local
,REITS must distribute what percentage of its income to
not pay taxes? -
ANSWER-
90%
What is the main advantage of using a CRT funded with
appreciated stock? -
ANSWER-The donor can take an income tax deduction for
the current fair
market value of the stock, decreased by the present value
of the income
stream.
The nonworking spouse of a Social Security recipient is entitled
to what percentage of the recipient's retirement benefit while
the recipient is alive? -
ANSWER-50%
If a minimum distribution from an IRA is not taken in the
calendar year after reaching age 70½, there is a ____% excise
tax on the amount that should have been withdrawn. -
ANSWER-50%
Know the ins and outs of excess benefit plans. - ANSWER-true
Tor F. Unfunded Excess benefit plans have no filing or
disclosure requirements
under ERISA. -
ANSWER-True
, T or F. For qualified plans, an employer receives a deduction for
a contribution to an employee when the employee recognizes
the income. - ANSWER-false. For qualified plans, the employer
receives the deduction during the year the contribution was
made.
For non-qualified plans, when does the employer receive a
deduction for the contribution that was made for an employee?
- ANSWER-they receive when the employee recognizes it as
income
For a Rabbi Trust, when is the employer taxed? - ANSWER-
The employer is
taxed on taxable earnings as they accumulate
in the plan.
T or F. A funded deferred comp plan will be taxable to
an employee if
nonforfeitable. -
ANSWER-true
What type of life insurance is most frequently used to fund a
deferred comp
plan? - ANSWER-Corporate-owned Cash Value
life insurance
Is an excess benefit plan allowed to cover management and
non-management
