Advanced Accounting 10th Edition by Thomas Schaefer, Joe Ben Hoyle, Timothy Doupnik

Exercise 54

Which of the following is a charitable lead trust
a.The income of the trust fund goes to an individual until death, at which time the principal is conveyed to a charitable organization.
b.Charitable gifts are placed into the trust until a certain dollar amount is achieved and is then transferred to a specified charitable organization.
c.The income of a trust fund goes to a charitable organization for a specified time with the principal then being conveyed to a different beneficiary.
d.A charity conveys money to a trust that generates income for the charity's use in its various projects.