questions 9-13

9) The difference between qualified and non-qualified pension plans is a) qualified plans are the only ones a company can manage for their employees. b) non qualified plans cannot be offered to non cecutive employees c) only qualified plans contributions are includeshle in taxable income for pension benefit guarantee purposes. d) withdrawals from non qualified plans cannot begin until age 70 and a half. e) contributions to qualified plans are not subject to current taxation 10) The following are valid tax planning strategies discussed except: a) clustering expenses b) tax deferral c) tax elimination d) tax reapplication e) the timing of taking tax deductions when available 11) In comparing term with whole life insurance: a) term is more expensive initially b) it is advisable to consider buying whole life and invest the difference between the costs of the two types of policies in the market. c) whole life premiums go up sharply over time. d) term has no cash or investment value e) whole life is more attractive to hold if you expect to cash it in within a few years. 12) Integration in a financial planning sense according to the book best means a) incorporation only of return and correlation b) including correlations but not direct risk in decision making c) incorporating all financial and behavioral needs in decision making d) taking into account money planning, behavioral and retirement planning needs each only on a separate basis e) including all thoughts but not actions. 3) A gift of $50,000 to one person in cash in I year is a) Not taxable currently but affects your estate tax exemption b) Taxable to the giftor c) Taxable to the receiver d) Results in a 22% increase in your estate tax exemption e) Partly faxable currently to the giftor. E D A to 16 A to C LLLLLLLL B A 18