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3 years ago

Mark the three choices that are true of a living trust.

2 answers:

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When the minor children reach a certain age, the living trust is always discontinued: FALSE
A living trust is established while the owner of the property or money put in trust is still alive.TRUE
The estate is managed, invested, and controlled by the trust agency or person.TRUE
The profit is paid to the owner during his lifetime, and to whomever he names upon his death. TRUE

lesya692 [45]3 years ago

5 0

Answer:

When the minor children reach a certain age, the living trust is always discontinued. F

A living trust is established while the owner of the property or money put in trust is still alive.T

The estate is managed, invested, and controlled by the trust agency or person.T

The profit is paid to the owner during his lifetime, and to whomever he names upon his death. T

Explanation:

A living trust is a type of trust created during a person's life. It is designed to allow the easy transfer of the assets of the creator of the trust, while avoiding the legal process of succession, often complex and expensive. Living trust contracts designate a trustee who has legal possession of the assets and properties that flow into the trust.

A living trust is in effect while the trustor is alive and the trust does not have to authorize the courts to reach their intended beneficiaries when the trustor dies or becomes incapacitated.

Probate trusts may be irrevocable or revocable.

With a revocable trust in life, the trustor of the trust can designate himself as a trustee and take control of the assets within the trust.

With a trust in irrevocable life, the settler waives certain rights of control over the trust. The trustee effectively becomes a legal owner, but the individual would also reduce his taxable assets. Once the trust agreement for an irrevocable living trust is made, the named beneficiaries are established and the settlor can do little to amend that agreement.

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Jessica does not believe that the methods and processes for determining salary increases in her company are fair. As per this ex

krok68 [10]

Answer:

Procedural justice

Explanation:

Procedural justice is centered on the idea that there should be fairness in the process used in making decision or resolving disputes in a transparent way without being impartial, to ensure the process brings out the right outcomes.

Jessica believes that there’s a problem with the firm’s procedural justice as she believes her firm’s process and methods in determining increase in her salary is not fair enough.

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3 years ago

Free Spirit Industries Inc.’s current ratio is 1.3333, and tis quick ratio is 0.7467; Jong Foodstuffs Inc.’s current ratio is 1.

ivolga24 [154]

Answer:

1. Jong Foodstuffs Inc. has a better ability to meet its short-term liabilities that Free Spirit. - TRUE

2. A current ratio of 1 indicates that the book value of the company’s current assets is equal to the book value of its current liabilities. - TRUE

3. If a company has a quick ratio of less than 1 but a current ratio of more than 1 and if the difference between the two ratios is large, then the company depends heavily on the sale of its inventory to meet its short-term obligations. - TRUE

4. Compared to Free Spirit, Jong Foodstuffs has less liquidity and a lower reliance on outside cash flow to finance its short-term obligations. FALSE

5. An increase in the current ratio over time always means that the company’s liquidity position is improving. FALSE

Explanation:

Current Ratio = Current Asset / Current Liabilities

Quick Ratio = (Current Assets – Inventories) / Current Liabilities

The Current Ratio is a liquidity measure that shows the ratio between current asset and current liabilities. It tells how many dollars of the current asset are per dollar of current debts, that gives an idea of the company`s ability to perform its debts.

The Quick Ratio is also a liquidity indicator, but using its most liquid assets, to pay its current liabilities at maturity. The inventory, although it is a current asset, is not considered, since it cannot be converted into cash in a very short term.

The difference between the Quick Ratio and the Current Ratio, implies that while both are measures of the company's ability to pay its debts, the quick ratio also tells how much the company depends on its inventory to get that objective.

As both ratios are bigger in Jong Foodstuffs Inc.’s case, statement 1 is True and statement 4 is False. Because how ratios are calculated, and the meaning of its terms, statement 2 and 3 are True. And because an increased in current ratio, may implicate a rise in inventory, and therefore a decreased in quick ratio, statement 4 is False.

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3 years ago

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3 years ago

A firm uses machine hours to allocate overhead cost. During the period, budgeted variable overhead is Rs. 10000 and budgeted

iVinArrow [24]

Answer:

Explanation:

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2 years ago

A fish cannot survive without water and a profession cannot exist without education. Justify this statement logically.

Misha Larkins [42]

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3 years ago