estion 6 (0.5 points) 2018, James gave his son John a $5,000,000 term life insurance policy taken on James' life. At the time of the gift, ames was in good health, and the value of the term insurance policy for gift tax purposes was less than the $14,000 nnual exclusion amount. However, James died in 2019. Which of the following statements is true? 1) In 2019, the $5,000,000 gift will be included in James' gross estate for estate tax purposes. 2 In 2019, the $5,000,000 payout will not be included in James' gross estate for estate tax purposes as he had outlived the transfer by more than 1 year. 3) James will get an annual exclusion of $50,000, i.e., 1 % of the gift amount in 2019. In 2019, James will be eligible for a unified tax credit of $500,000, i.e., 10 % of the gift amount, as he has 4) outlived the transfer by more than 1 year. 5) James cannot avail the charitable deduction in 2019 as he did not outlive the transfer by more than 1 vear. Question 7 (0.5 points) A is applied to reduce estate tax when a large amount of real estate is for sale in one area. 1) marketability discount 2) minority discount 3) blockage discount 4) property discount 5) land discount uestion 8 (0.5 points) People planning means providing sustenance and resources for family members by anticipating their future needs. 1) True 2) False