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In 2009, Ellen, married filing jointly, had $4,000 mortgage interest, $2,000 real estate taxes, $2,000 state income tax, and medical expenses of $2,000. Assuming Ellen had an adjusted gross income of $50,000, which of the following is TRUE?

		Ellen should take a standard deduction of $11,400.
		Ellen should take a standard deduction of $5,700.
		Ellen should take an itemized deduction of $8,000.
		Ellen should take an itemized deduction of $10,000.

Each of the following is a characteristic of a defined benefit retirement plan EXCEPT

		the plan specifies the benefit an employee receives
		the law specifies the maximum allowable benefit payable from the plan is equal to the lesser of 100% of the salary or $180,000 (for 2007) per year
		the plan has less predictable costs than defined contribution plans
		the plan assigns the risk of preretirement inflation, investment performance, and adequacy of retirement income to the employee
		the plan is relatively costly to administer compared to defined contribution plans

Frank has the following assets: I-Life insurance; beneficiary is Lois II-IRA; no beneficiary III-Personal residence; in an irrevocable trust IV-Auto; Frank is the sole owner Which assets will go through probate?

		II only
		II, III and IV
		II and IV
		IV only
		I, II, III and IV

Mr. and Mrs. Smith come to you for advice on the financing of their sons college education at their state university. Even though their annual family income exceeds $70,000, they have NOT saved enough for his college expenses. You advise that their best opportunity to acquire education funds would be through

		Pell Grants
		Subsidized Stafford student loans
		Supplemental education opportunity grants
		Parent loans for undergraduate students (PLUS)

Which of the following statements concerning property insurance is (are) CORRECT? I-Property insurance policies fall into 2 broad categories with respect to covered perilsnamed-perils policies and all-risks policies. II-Named-perils policies contain a list of the covered perils, which range in number depending on the type of policy.

		I only
		II only
		Both I and II
		Neither I nor II

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