CRPC EXAM 2024-2025 ACTUAL EXAM 180
QUESTIONS AND CORRECT DETAILED ANSWERS
WITH RATIONALES (VERIFIED ANSWERS)
|ALREADY GRADED A+
Practice questions for this set
Learn 1 /7 Study with Learn
C
Explanation
The very purpose of any durable power of attorney is to give the attorney-in-
fact authority to act after the principal becomes incapacitated. However, such
authority does not survive the principal's death. Such authority is created in an
independent document (not part of a living will or a living trust), and is
effective immediately in this type of power of attorney. A springing durable
power of attorney becomes effective when the principal becomes
incompetent or incapacitated.
LO 5-2
Give this one a try later!
If Tom and Jenny want to save a fixed amount annually to accumulate $2 million by their
retirement date in 25 years (rather than an amount that grows with inflation each year),
,1 what level annual end-of-year savings amount will they need to deposit each year,
assuming their savings earn 7% annually?
A springing durable power of attorney
A)
is usually created in a person's revocable trust.
B)
remains effective after the principal's death.
C)
gives the attorney-in-fact authority only when the principal is deemed incompetent.
D)
remains effective until the principal becomes incapacitated.
Which of the following are correct statements about the legal requirements for a loan
to a participant from a retirement plan?
3
The term of a loan for a medical emergency must not exceed five years.
Loans from SEP IRAs are not permitted.
The term of a loan used to acquire a principal residence may exceed five years.
Loans from a SIMPLE 401(k) plan are permitted.
A lump sum payment of the proceeds of a life insurance policy that is made to the
beneficiary upon the insured's death
A)
is exempt from estate taxation.
4 B)
is taxable if from a modified endowment contract (MEC).
C)
is generally exempt from income taxation.
D)
is typically taxable.
, Don't know?
Terms in this set (179)
All of the following are A
correct statements
regarding qualified Owners must begin receiving income from a longevity
longevity annuity contracts annuity by age 85. All of the other statements are
(QLACs) EXCEPT correct.
LO 4-5
A)
owners must begin
receiving income by age 75.
B)
accumulations in these
annuities are exempt from
the initial RMD rules from
age 73 to 85.
C)
owners can put no more
than 25% of their retirement
plan money into a longevity
annuity with an overall cap
of $145,000 in 2022.
D)
payments from longevity
annuities are larger than
those received from a
regular annuity due to the
delay in receipt of the
annuity payments.
, All of the following are C
reasons reverse mortgages
may become more Fees may be rolled into the reverse mortgage, but that is
common in the future not required. Until the late 1990s American tax law had
except strong incentives to purchase ever more expensive
homes. This effect lingers on today. Next, people have to
A) live somewhere. Buying a home is a forced savings plan
reverse mortgages are a as the mortgage is repaid each month. In addition,
potential tool for increases in home prices over time help accrue wealth.
combating sequence of Reverse mortgages have the potential to fight sequence
return risk. of return risk in several ways. First, reverse mortgage
B) loans can pay off the original mortgage and thus
many older Americans have eliminate the need for the original mortgage amount
large amounts of equity in each month. Lowering income needs reduces the
their homes but lack liquid monthly need. Reducing the monthly need takes
assets capable of sustaining pressure off the portfolio. Also, money from a reverse
their lifestyle. mortgage is tax free (like all other loans received).
C) Additionally, during a market downturn, monthly
reverse mortgage fees must payments from a reverse mortgage can be substituted
be rolled into the loan. for portfolio withdrawals. In fact, the monthly reverse
D) mortgage amount can be smaller than the normal
government regulatory withdrawal from a non-Roth retirement plan because the
changes in 2013 amount of income tax required with the retirement plan
standardized Home Equity withdrawal is not needed when the monthly income is
Conversion Mortgage coming from a reverse mortgage.
(HECM) rules to a great LO 4-8
extent.
Les avantages d'acheter des résumés chez Stuvia:
Qualité garantie par les avis des clients
Les clients de Stuvia ont évalués plus de 700 000 résumés. C'est comme ça que vous savez que vous achetez les meilleurs documents.
L’achat facile et rapide
Vous pouvez payer rapidement avec iDeal, carte de crédit ou Stuvia-crédit pour les résumés. Il n'y a pas d'adhésion nécessaire.
Focus sur l’essentiel
Vos camarades écrivent eux-mêmes les notes d’étude, c’est pourquoi les documents sont toujours fiables et à jour. Cela garantit que vous arrivez rapidement au coeur du matériel.
Foire aux questions
Qu'est-ce que j'obtiens en achetant ce document ?
Vous obtenez un PDF, disponible immédiatement après votre achat. Le document acheté est accessible à tout moment, n'importe où et indéfiniment via votre profil.
Garantie de remboursement : comment ça marche ?
Notre garantie de satisfaction garantit que vous trouverez toujours un document d'étude qui vous convient. Vous remplissez un formulaire et notre équipe du service client s'occupe du reste.
Auprès de qui est-ce que j'achète ce résumé ?
Stuvia est une place de marché. Alors, vous n'achetez donc pas ce document chez nous, mais auprès du vendeur TheAlphanurse. Stuvia facilite les paiements au vendeur.
Est-ce que j'aurai un abonnement?
Non, vous n'achetez ce résumé que pour $18.49. Vous n'êtes lié à rien après votre achat.
