Asked by Benjamin Cohen on Jul 06, 2024
Verified
What type of trust did Jasmine set up to encourage her family members to go to school or work?
A) This type of trust would be identified as an illegal trust because it would not be enforced.
B) Relative review
C) Relative pushing
D) Family encouragement
E) Family incentive
Family Incentive
Rewards or encouragements aimed at promoting desirable behavior or actions among family members.
- Gain an understanding of the diverse varieties of trusts and their unique functions, specifically focusing on incentive trusts.
Verified Answer
KP
Kendra Pettiford-FordJul 10, 2024
Final Answer :
E
Explanation :
Jasmine set up a Family Incentive Trust, which is designed to encourage certain behaviors among beneficiaries, such as gainful employment or attending school, by conditioning distributions on these behaviors.
Learning Objectives
- Gain an understanding of the diverse varieties of trusts and their unique functions, specifically focusing on incentive trusts.