1. All the following forms of property interests give the holder current possessory enjoyment rights EXCEPT

a) leasehold

b) vested remainder

c) life estate

d) fee simple absolute

2. All the following statements concerning the estate taxation of life insurance proceeds are correct EXCEPT

a) The proceeds are included in an insureds gross estate if the policy is payable to his or her gross estate.

b) Group life insurance proceeds are treated in the same manner as individually owned insurance.

c) The proceeds are included in the insureds gross estate if payable to an inter vivos trust that is required to pay the expenses of the insureds estate.

d) The proceeds must be excluded from the policy owner-insureds gross estate if payable to the surviving spouse because of the marital deduction.

3. All the following statements concerning the deferral of payment of estate tax under Sec. 6166 for estates that hold closely held business interests are correct EXCEPT

a) The tax deferral is limited to the estate tax created by the inclusion of a qualified business interest.

b) The principal payments on the deferred tax may begin up to 5 years after the normal due date, with interest only payable during this initial period.

c) To qualify for such a deferral, the estate must hold a closely held business interest valued at greater than 65 percent of the adjusted gross estate.

d) The deferred tax is accelerated if the heirs dispose of the business interest.

4. All the following statements concerning property held by a married couple as tenants by the entirety are correct EXCEPT

a) The entire property must be included in the estate of the first to die.

b) The property passes automatically to the survivor at the time of the first death.

c) Each holds an undivided interest in the whole property.

d) Neither spouse can unilaterally transfer his or her interest.