AWMA Exam Practice Questions and Answers 100% Solved

AWMA Exam Practice Questions and Answers 100% Solved What are the 4 rules in terms of investing in a small firm? ️️Time frame of at least 3-5 years, diversify among 20-30 different issues, avoid turnover of 30% annually, and sell if and when 40% of company's shares become owned by institutional investors. What is a characteristic of an unfunded excess benefit plan? ️️The plan generally need not comply with either the disclosure or reporting requirements of ERISA. Unfunded excess benefit plans need not comply with ERISA disclosure or filing requirements. What is a correct statement regarding federal transfer taxation of the transfer of wealth? ️️The generation-skipping transfer tax (GSTT) can be applied to transfers of wealth between parties who are not related to each other. If the transferor and transferee are not related to each other in any way, the GSTT can still apply if the transferee is more than 37.5 years younger than the transferor. The gift tax is tax exclusive. Direct payment of tuition expenses is exempt from gift tax and GSTT, but is not exempt from estate tax. The marital deduction merely delays application of the gift or estate tax until the recipient spouse dies.