When would a decedents property be subject to ancillary probate?

a. If the decedent is a resident of one state and owns a real property interest in a LLC in another state.

b. If the decedent is a tenant in common in real estate with an unrelated person and the property is located in a state other than the state of domicile.

c. If the decedent was a resident of a community property state.

d. If the decedent owned a life estate in real property located in a state other than his state of domicile.

2. Which of the following states is not a community property state?

a. Louisiana.

b. California.

c. Wisconsin.

d. Mississippi.

3. Teresa and her brother Michael decide to purchase a condo together. They both want to use the condo for family vacations. The price of the condo is $620,000. Michael expects to use the condo 60% of the time and Teresa 40% of the time. Michael contributed $372,000 and Teresa contributed the balance. Their ownership percentage equals their contribution percentage. Which type of property titling must the condo be to reflect their ownership interest?

a. Community Property.

b. JTWROS.

c. Tenancy in Common.

d. Tenancy by the Entirety.

4. Cody and Chelsi, who are married to each other, own their home together titled as community property. They purchased the home three years ago for $200,000. After improvements and a surge in the market, the home is now worth $400,000. If Cody died today and left his share of the home to his daughter Alyssa, what is Alyssas federal income tax basis in the home?

a. $50,000. b. $100,000. c. $150,000. d. $200,000.

5. Jack and Jill are not married and own farm land titled as Joint Tenants with Rights of Survivorship. Jack originally contributed $90,000 and Jill contributed $60,000 towards the purchase price. The land is currently valued at $800,000 and each of them has a 50% interest in the property. If Jack died today, what amount of the value of the farm land would be included in his gross estate? a. $90,000. b. $400,000. c. $480,000. d. $800,000.

6. Bob and Charles own a townhouse together and are not married. Charles contributed 30% of the purchase price and Bob contributed 70% of the purchase price. Each of them has an equal interest in the property. Which of the following are permissible ways they could title the property? 1. Sole Ownership. 2. Tenancy in Common. 3. Joint Tenancy with Rights of Survivorship. 4. Tenancy by the Entirety. a. 2 only. b. 2 and 3. c. 1, 3 and 4. d. 2, 3 and 4.

7. Sherri purchased a home many years ago for $100,000. She married Gary five years ago when the house was worth $200,000. Sherri and Gary live in a community property state. Assume Sherri died today and left her entire interest in the property to her son Cody. The property is currently valued at $400,000. What is Codys basis in the home after Sherris death? a. $0. b. $100,000. c. $200,000. d. $400,000.

8. Dennis died recently leaving all his assets in a trust for his wife, Sandy. Dennis was concerned that Sandy would not be able to manage her money adequately to maintain her standard of living. Therefore, Dennis placed the assets into a spendthrift trust and gave Sandy the right to receive a certain amount of income each year.

9.Dennis appointed his good friend Richard to be the trustee of the trust. How is Richards ownership classified? a. Richard holds a life estate over the property. b. Richard holds the legal title to the property. c. Richard holds the equitable title to the property. d. Richard does not hold an interest in the property. A tenancy by the entirety is a property titling regime that exists between? a. Spouses only. b. Spouses or between parents and adult children. c. Any members of the same family. d. Any two individuals.

10. Four people own one piece of property. Which of the following forms of property ownership titling of those listed must they use? a. Life estate. b. Tenancy by the entirety. c. Community property. d. Tenancy in common.