Question 1

The failure to appoint a trustee will destroy a trust.

Accepted Answer

A) True 
 B)False  False

Question 2

Name the special types of wills.

Accepted Answer

The special types of wills available in at least some jurisdictions include nuncupative wills, holographic wills, soldiers' and sailors' wills, conditional wills, joint and reciprocal wills, and living wills. In addition, codicils, or subsequent wills or amendments to present wills, are available if executed with all the formalities of a will.

Question 3

A valid will must be witnessed. Which of the following statements about witnesses is correct?

Accepted Answer

A)  Most states require only one witness to a will. 
B)  The witnesses must see the testator write the will. 
C)  The witnesses must sign the will. 
D)  Under the Uniform Probate Code, witnesses lose any bequests to them in a will they witness. 
A)  Most states require only one witness to a will. 
B)  The witnesses must see the testator write the will. 
C)  The witnesses must sign the will. 
D)  Under the Uniform Probate Code, witnesses lose any bequests to them in a will they witness. C

Question 4

For a memorandum to be incorporated into a will, which of the following conditions must be met?

Accepted Answer

A)  It must be in writing. 
B)  It must be in existence when the will is executed. 
C)  It must be adequately described in the will. 
D)  All of these. 
A)  It must be in writing. 
B)  It must be in existence when the will is executed. 
C)  It must be adequately described in the will. 
D)  All of these.

Question 5

Codicils will not be valid if executed and attested.

Accepted Answer

A) True 
 B)False

Question 6

In what cases do courts impose a constructive trust?

Accepted Answer

Constructive trusts are imposed by court

Question 7

If Hana pays the purchase price for property and takes title in the name of Thalia, a constructive trust is formed with
Thalia being treated as the trustee.

Accepted Answer

A) True 
 B)False

Question 8

Taxes are imposed at death by the federal government in the form of an inheritance tax and by the state government in the form of an estate tax.

Accepted Answer

A) True 
 B)False

Question 9

Renunciation is a statutory right of a surviving spouse to give up her statutory share in the estate.

Accepted Answer

A) True 
 B)False

Question 10

Of the following elements, which one is NOT required to create an enforceable trust?

Accepted Answer

A)  Consideration 
B)  A settlor 
C)  Specific property 
D)  A beneficiary 
A)  Consideration 
B)  A settlor 
C)  Specific property 
D)  A beneficiary

Question 11

A will is presumed to be irrevocable unless the power to revoke is expressly stated.

Accepted Answer

A) True 
 B)False

Question 12

A trust created by will at the death of a testator is called a(n):

Accepted Answer

A)  charitable trust. 
B)  cy pres trust. 
C)  inter vivos trust. 
D)  testamentary trust. 
A)  charitable trust. 
B)  cy pres trust. 
C)  inter vivos trust. 
D)  testamentary trust.

Question 13

Tom, a trustee, fraudulently purchases property with trust funds and puts title in his own name. What type of trust is created?

Accepted Answer

A)  Constructive trust 
B)  Implied trust 
C)  Express trust 
D)  Resulting trust 
A)  Constructive trust 
B)  Implied trust 
C)  Express trust 
D)  Resulting trust

Question 14

A devise is a gift by will of personal property.

Accepted Answer

A) True 
 B)False

Question 15

The executor or administrator occupies a fiduciary relationship with regard to the estate.

Accepted Answer

A) True 
 B)False

Question 16

In 2008, Bill created a trust that would become effective on his death. In the trust instrument, Bill specified that all of the income from his stocks and bonds be used for the benefit of St. John's Hospital and indicated that his brother Chad should administer the trust.
a. What kind of trust is this?
b. What is Bill in relationship to the trust?
c. What is the corpus of the trust?
d. What is Chad in relationship to the trust?

Accepted Answer

a. This is a testamentary char

Question 17

If a person dies without a valid will and has no heirs or next of kin, her property goes to the state.

Accepted Answer

A) True 
 B)False

Question 18

A trustee has a duty to make proper allocation of income items. Which of the following statements is true concerning this allocation?

Accepted Answer

A)  Ordinary income is allocated to the remainderman. 
B)  Ordinary expenses are chargeable to the income beneficiary. 
C)  Rents and royalties to the remainderman. 
D)  Extraordinary repairs to the income beneficiary. 
A)  Ordinary income is allocated to the remainderman. 
B)  Ordinary expenses are chargeable to the income beneficiary. 
C)  Rents and royalties to the remainderman. 
D)  Extraordinary repairs to the income beneficiary.

Question 19

A totten trust may also be referred to as a savings account trust.

Accepted Answer

A) True 
 B)False

Question 20

An express trust may be found if the intent of the grantor to create a trust is unmistakable.

Accepted Answer

A) True 
 B)False

Exam 50: Trusts and Decedents Estates

The failure to appoint a trustee will destroy a trust.

Name the special types of wills.

A valid will must be witnessed. Which of the following statements about witnesses is correct?

For a memorandum to be incorporated into a will, which of the following conditions must be met?

Codicils will not be valid if executed and attested.

In what cases do courts impose a constructive trust?

If Hana pays the purchase price for property and takes title in the name of Thalia, a constructive trust is formed with Thalia being treated as the trustee.

Taxes are imposed at death by the federal government in the form of an inheritance tax and by the state government in the form of an estate tax.

Renunciation is a statutory right of a surviving spouse to give up her statutory share in the estate.

Of the following elements, which one is NOT required to create an enforceable trust?

A will is presumed to be irrevocable unless the power to revoke is expressly stated.

A trust created by will at the death of a testator is called a(n):

Tom, a trustee, fraudulently purchases property with trust funds and puts title in his own name. What type of trust is created?

A devise is a gift by will of personal property.

The executor or administrator occupies a fiduciary relationship with regard to the estate.

If a person dies without a valid will and has no heirs or next of kin, her property goes to the state.

A trustee has a duty to make proper allocation of income items. Which of the following statements is true concerning this allocation?

A totten trust may also be referred to as a savings account trust.

An express trust may be found if the intent of the grantor to create a trust is unmistakable.

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