aafm ctep practice test

What is the ultimate goal of Estate Planning?

• A. To reduce estate taxes to minimum
• B. To fulfill the estate owner’s wishes as closely as possible
• C. Increase the value of client’s assets
• D. Conserve the existing assets of client

For which of the following stage of Business Cycle a succession plan is not prepared?

• A. Survival
• B. Growth
• C. Maturity
• D. New Growth or Winding Down

____________ is the most basic legal instrument of all Estate Plans.

• A. Power of Attorney
• B. Will
• C. Trust Deed
• D. Any one of above

What is Probate?

• A. A Will made out of undue influence
• B. The process of distribution of estate
• C. A person who pays the ‘Inheritance Tax’
• D. Court process by which a will is proved valid or invalid

Estate Planning is ________ process.

• A. One time
• B. Continuous
• C. Two step
• D. Three step

A Business plan has_________ phases.

• A. Two
• B. Three
• C. Four
• D. Five

Which of the following events does not require a Estate Planner to revise his plan?

• A. Divorce
• B. Donation of Asset
• C. Birth of grandchildren
• D. None of the above

Which of the following statement is true?
Exhibit:

• A. Only (i)
• B. Only (ii)
• C. Both (i) and (ii)
• D. Neither (i) nor (ii)

Which is the following is a part of Executor’s fees?

• A. Funeral Expenses
• B. Master’s fees
• C. Estate duty
• D. All of the above

Failure to create an Estate Plan leads to __________

• A. Only (i)
• B. Only (ii)
• C. Neither of the (ii)
• D. Both (i) and (ii)