QUESTION 3 Answer all parts of the question in the space provided. Clearly label your response to each part. Mit Worren is years of age and was finaling her state plantene requrements when she was diagnosed with stupe long cancer. Unfortunately, it is that she will live beyond the end of the current year She is happy married to Fred (14) and they have two adult children Susan and Connor 9 and 30 Susan is married to John (421 and they have two children Timmy and Max 110 and 7) Connor is currently going through a divorce from his wife of 5 years. Linda, with whom he is fighting for the custody of the only chic Adam Anita presently has the following assets estate and non-estate valued at their current market value held in her name Detail Amount (5) 1.500.000 Various shares in fisted companies call purchased for $135.000 in 1987) Superannuation allocated at Tax free component 300,000 Taxable component Element taxed in the fund) 1.200.000 Total superannuation 1.500.000 -Total assets at market value 3.000.000 Anita wants to give bait of her assets to Fred and distribute the other half equally between their two children. She proposes to achieve her objective by giving the shares to Fred and direct her superannuation in equal parts to Susan and Connor. Given Connors divorce and custody battle. Anita is keen to ensure that her inheritance is kept within the family Anita has approached you for state planning advice. REQUIRED WORK a) Adi Anta on whether it is appropriate for her to document her wishes in her wit. Identity and are possible asset protection strategies (5 marks) b) Assume that Anita passes away with the above assets distributed to the family members in accordance with her wishes Based on the market values as shown in the question and assuming that the stures are sold immediately after derbution to Fred and the superannuation is paid out sa ump sum to the adult children calculate the after-tax cash flows available to Fred. Susan and Connor. Imore the effects of the Medicare levy in your calculations 15 marka QUESTION 3 Answer all parts of the question in the space provided. Clearly label your response to each part. Mit Worren is years of age and was finaling her state plantene requrements when she was diagnosed with stupe long cancer. Unfortunately, it is that she will live beyond the end of the current year She is happy married to Fred (14) and they have two adult children Susan and Connor 9 and 30 Susan is married to John (421 and they have two children Timmy and Max 110 and 7) Connor is currently going through a divorce from his wife of 5 years. Linda, with whom he is fighting for the custody of the only chic Adam Anita presently has the following assets estate and non-estate valued at their current market value held in her name Detail Amount (5) 1.500.000 Various shares in fisted companies call purchased for $135.000 in 1987) Superannuation allocated at Tax free component 300,000 Taxable component Element taxed in the fund) 1.200.000 Total superannuation 1.500.000 -Total assets at market value 3.000.000 Anita wants to give bait of her assets to Fred and distribute the other half equally between their two children. She proposes to achieve her objective by giving the shares to Fred and direct her superannuation in equal parts to Susan and Connor. Given Connors divorce and custody battle. Anita is keen to ensure that her inheritance is kept within the family Anita has approached you for state planning advice. REQUIRED WORK a) Adi Anta on whether it is appropriate for her to document her wishes in her wit. Identity and are possible asset protection strategies (5 marks) b) Assume that Anita passes away with the above assets distributed to the family members in accordance with her wishes Based on the market values as shown in the question and assuming that the stures are sold immediately after derbution to Fred and the superannuation is paid out sa ump sum to the adult children calculate the after-tax cash flows available to Fred. Susan and Connor. Imore the effects of the Medicare levy in your calculations 15 marka
