1.) Which of the following would be a transfer for value for tax purposes when a life insurance policy is transferred for adequate consideration?

1. The transferee is the corporation in which the insured is an officer.

2. The transferee is a partnership in which the insured is a partner.

		1 only.
		2 only.
		Both 1 and 2.
		Neither 1 nor 2.

2.) Under the endorsement method of split-dollar plan, the employer owns and pays the premiums on a life insurance policy on the employee, and the employee names the beneficiary.

A.) True

B.) False