1. True or False. When a parent makes a loan to a child and does not charge interest, there is no income or gift tax consequence if the child pays back the principal.

2. True or False. Assets held in a decedents revocable trust will receive a step-up in basis at the decedents death.

3. True or False. When an installment sale is based on the full FMV of the property transferred, the seller has not made a gift to the buyer of the property.

4. True or False. Lyle established a revocable trust six years ago and named the trust the beneficiary of his life insurance policy. Lyles wife and child are the beneficiaries of the trust. The proceeds paid to the trust at Lyles death will not be included in his gross estate.

5. True or False. A surviving spouse that is the beneficiary of his/her spouses IRA may elect to treat the IRA as an inherited IRA or a spousal rollover IRA.