WILLS, TRUSTS AND ESTATE FINAL EXAM CARDS QUESTIONS AND ANSWERS RATED A+ GUARANTEED PASS !!! 2025/2026

WILLS, TRUSTS AND ESTATE FINAL
EXAM CARDS QUESTIONS AND
ANSWERS RATED A+ GUARANTEED
PASS !!! 2025/2026
ThemPrudentmManmRulem-
mCORRECTmANSWERSmwhenmamtrusteeminvestsmthemassetsmofmthemtrust,mthemtrusteemmustmobserve


mhowmmenmofmprudent,mdiscretionmandmintelligencemmanagemtheirmownmaffairs,mnotminmregardmtom


speculationmbutminmregardmtomthempermanentmdepositionmofmtheirmfunds,mconsideringmthemproba
blemincome,masmwellmasmthemprobablemsoftermofmthemcapital



Dutymnotmtomdelegatem-
mCORRECTmANSWERSmTrusteemcannotmdelegateminvestmentmdecisionsmtomanother.




ShrinersmHospitalmformCrippledmChildrenm-mCORRECTmANSWERSmBlackmLettermLaws:m

Amtrusteemhasmthemdutymtomobservemthemstandardminmdealingmwithmthemthemtrustmassetsmthatmwou
ldmbemobservedmymamprudentmman.mIfmhemdoesmnot,mhemismpersonallymliablemformresultingmlossmofmt
hemassets.



Theremmustmbemamcausalmconnectionmbetweenmthemtrusteesmandmactionsmandmthemdamagemtotmth
emtrustmtomsupportmpersonalmliability.m



Amfiduciarymmustmnotmdelegatemtomanothermthemperformancemofmdutyminvolvingmdiscretionmandmju
dgment,mincludingmamco-trustee.mIFmsomtheymwillmbempersonallymliable.m



Themstandardmofmcaremrequiredmbymamtrusteemismthatmofmreasonability.mItmismanmobjectivemstandard
mthatmdoesmnotmtakemintomaccountmthemperson.m




Amtrusteemismgenerallymnotmliablemformactsmofmagentsmemployedminmthemdispositionmofmthemtrust.m

,Amtrusteemismliablemifmhemfailsmtomredressmambreachmofmtrustmcommitteesmbymthempredecessor.



FACTS:Trusteemgrantedmallmpowermtominvestmitemsminmtrustmtomthemalternatemtrustee,masmamstockmt
radermwhomembezzledmthemfunds.mThemtrusteemismbeingmsuedmformdamagesmasmamresultmofmrelinqu
ishingmhermduty.mAlthoughmthemtrusteemwasmnotmallowedmtomdelegatemallmduty,mshemmaymnotmbemh
eldmliablemifmtheremwasmnomcausalmconnectionmbetweenmhermactsmasmamtrusteemandmdamagemtomth
emtrust.m

RobertmismthemguardianmtomlookmoutmformMarymJanemandmasmso,mhemcannotmbemappointedmthemtrus
teemifmthemcourtmfindsmMarymJanemdoesmsomethingmwrongmbecausemtheremismamconflictmofminterest
mthere.




PrudentmInvestormRulem-
mCORRECTmANSWERSmAmtrusteemmanymdiversifyminvestmentsmusingmamportfoliommethod.




Dutymofmskilledmtrusteesm-
mCORRECTmANSWERSmAmtrusteemwhomhasmspecialmskillmormexpertise,mandmwasmnamedmtrusteeminmr


eliancemonmthosemspecialmskills,mmustmemployemthemminmhismmanagement



DutymofmUndividedmLoyaltym254m-mCORRECTmANSWERSmX



LastmWillmandmTestamentmofmMarkmRothkom256m-mCORRECTmANSWERSmX



Rothkomv.mReism-mCORRECTmANSWERSmBlackmLetter:

Dutymofmloyaltymimposedmonmamfiduciarympreventsmhimmfrommacceptingmemploymentmfrommamthir
dmpartymwhomismenteringmamintombusinessmtransactionmwithmthemtrust.m



Whilemamtrusteemadministeringmthemtrustmhemmustmrefrainmfrommplacingmhimselfminmampositionmwh
eremhismpersonalminterestmormthatmofmamthirdmpersonmdoesmormMAYmconflictmwithmtheminterestmofmt
hembeneficiaries.

,Amfiduciarymmaymbemliablemformappreciationmdamagesmifmitmwasmhismdutymtomretainmthemproperty.mI
fmthempropertymwasmsoldmprematurely,mtheymcouldmbemliable.



Amtransfereemmaymbemliablemformthemvaluemofmthempropertymreceivedmatmthemtimemitmwasmreceived
mifmhemtakesmwithmnoticemofmambreachmofmtrust.m




Themvaluemofmthempropertymlostminmbreachmofmtrustmmustmbemassessedmbymamreasonablembasismofm
computation.m




NEEDmFACTS:



DutymofmImpartialitym-
mCORRECTmANSWERSmAnymexecutormormtrusteemhasmamdutymtomactmimpartially.




Dennismv.mRhodemIslandmHospitalmNationalmTrustmBankm-mCORRECTmANSWERSmBlackmLettermLaws:

Amtrusteemismundermamdutymtomthembeneficiarymwhomismultimatelymuntitledmtomthemprincipalmnotmto
mretainmpropertymthatmismcertainmormlikelymtomdepreciateminmvalue,mevenmifmthempropertymyieldmamla


rgemincome,munlessmhemmakesmcertainmprovisionsmtomamortizemthemdepreciation.m



Themcourtmcanmlookmintomthemvaluemofmampropertymatmanothermtimemtomaccessmthemappreciationmd
amages.m



Themcalculationmmustmbemreasonablemandmgroundedmonmrecordedmfacts.m



Amtrusteemcanmbemremovedmevenmthemchargedmhavemnotmbeenmmademout.mAnmillmfeelingmthatmmig
htminteriormwithmeatmadministrationmofmamtrustmmaymallowmremoval.m

, Facts:mThemcourtmsaysmyoumshouldmhavembeenmsellingmitminmthem50s,mbutmthemcourtsmsaysmyoumsho
uldmhavembeenmbuyingminmthem50s.mIncomembeneficiariesmaremthemremaindermen.m

Whatmdidmthembankmdomthatmwasmreallymwrong:mthembankmshouldmhavembeenmpayingmattentionmto
mthemaccountsm-


mdoingmanmaccountingmtomseemifmtheremhasmbeenmanymembezzlements.mNomformalmorminformalmacc


ountingminm55myears?!



UniformmPrincipalmandmIncomemActm268m-mCORRECTmANSWERSmX



InmThemMattermofmthemOrpheusmTrustm-mCORRECTmANSWERSmBlackmLettermLaws:

Undermthemuniformmprinciplemandmincomemactmamtrusteemmaymadjustmthemamountmofmincomemgiv
enmtomincomembeneficiariesmifmhemcannotmactmimpartialmwhenmitmcomesmtommakingmgoodminvestm
ents.m



Amtrusteemmaymadjustmthemamountmofmincomemandmprincipalmaccruedminmthemyearmimmediatelymp
recedingmhismappointment.m



Amtrusteemwhomismalsomamtrustmbenificairtymmaymnotmadjustmprincipalmandmincomemallocations,man
dmthusmmustmappointmamspecialmtrusteemtomdomso.m



Factorsmformdeterminingmadjustment:m

1)mnature,mpurposemandmdurationmofmthemtrustm

2)mintentmofmthemsettlor

3)midentitymandmcircumstancesmofmthembeneficiariesm

4)mNeedmformthemliquidity,mincomemregularity,mandmpreservationmofmcapitalmappreciation

5)mthemactualmandmanticipatedmeffectmofm