Suggestions on part B? The part about "Answer before taking the unified credit into account," is throwing me off. I assume the answer is "A"? Thanks for any input.

Cathy, who is single, makes gifts of $50,000 to each of her two adult children a. Who is primarily liable for the gift tax on the two gifts, Cathy or the two children? OA. Cathy, the donor, is primarily liable for the gift tax on the two gifts. The children are contingently liable for payment of the gift tax in the event the donor fails to pay. O B. Cathy, the donor, and the children are all equally liable for the gift tax on the two gifts. OC. The children are primarily liable for the gift tax on the two gifts. Cathy, the donor, is contingently liable for payment of the gift tax in the event the donee fails to pay. 0 D. None of the above b. Cathy has never made a taxable gift in prior years, is a gift tax due on the two gifts? (Answer before taking the unified tax credit into account.) A. Yes, a gift tax must be considered on the two gifts. She is permitted a $14,000 annual exclusion for gifts of a present interest to each donee. Since Cathy has never made a taxable gift, no gift tax will be due because of the O B. No, a gift tax need not be considered on the two gifts regardless of whether Cathy made taxable gifts in prior years. unified credit that is available C. Yes, a gift tax is due on the two gifts after consideration of the annual exclusion and unified credit that is available O D. Yes, a gift tax is due on the two gifts. Cathy is permitted a $14,000 annual exclusion for gifts of a present interest to each donee but she is not eligible for the unified credit