QUESTION 9

1. Which of the following statements correctly describes trust accounting income?
2. A.Allocates taxable income between beneficiaries and the trust.
3. B.The items of income and expense that are used to determine the amount the beneficiaries are entitled to receive from the trust each year.
4. C.This is the maximum amount that can be taxed to the beneficiaries.
5. D.This is determined by subtracting deductions for distributions, as well as other deductions such as charitable contributions and investment advisor fees.