From “ Are Extended RMDs A Gold Mine Or Tax Trap ?,” page 26

1 . The argument for a couple ’ s earlier IRA withdrawals is that the couple will ____. A . See a step-up in basis for after-tax funds allowed to appreciate B . Avoid the single filer penalty C . Avoid higher income tax brackets for later distributions D . All of the above

2 . “ Provisional income ” is equal to a couple ’ s outside income ( including the IRA receipts ) plus ____ of their income from Social Security . A . 50 % B . 30 % C . 25 % D . 0 %

From “ Too Much Of A Good Thing ,” page 30

3 . With a charitable remainder trust , or CRUT , the trust creator receives what amount from the trust each year ? A . At least 5 % but no more than 50 % of the fair market value of the trust assets B . A predetermined amount designed to deplete the trust by the time the trust creator dies C . Three to four percent of the assets ’ value D . No annual payments , but a lump sum when the trust creator retires .

4 . A unitrust can also be paired with what other type of financial vehicle ? A . An annuity that pays monthly premiums B . A will that leaves all of the money to charity C . An exchange-traded fund that concentrates the assets in one fund D . A donor-advised fund , which receives the remainder of the trust when the creator dies

From “ Benchmarking With Apples And Oranges ,” page 41

5 . In the author ’ s model equity portfolio , starting with $ 1 million , the average annual RMD withdrawal for 26 rolling 25-periods was _____. A . $ 100,050 C . $ 301,917 B . $ 201,917 D . $ 425,020

6 . In the author ’ s model portfolio of 80 % equities and 20 % fixed income , the 50-year average annualized return was ____. A . 9.83 % C . 12 % B . 10.83 %

D . None of the above

From “ Three Reasons Munis Are Right , Right Now ,” page 44

7 . Back in October 2022 , municipal bond yields hit ____ , and the taxable equivalent was ____. A . 4.423 %, 6.8 % C . 8.2 %, 10 % B . 5.433 %, 7.8 % D . 9.432 %, 11.8 %

From “ A RILA-Roth Combo Can Solve Longevity Risk ,” page 54

9 . In Schyler Adams ’ s proposed combination of a Roth with a registered index-linked annuity , the client ____. A . Converts $ 300,000 to a Roth B . Purchases a RILA with $ 300,000 C . Purchases a RILA and does a conversion from within the Roth D . None of the above

10 . From the time they are age 58 to 62 , a client converts ____ a year to the Roth inside the annuity to even out the tax bill and avoid the two-year Medicare look-back period . A . $ 60,000 B . $ 300,000 C . $ 600,000 D . $ 1.2 million

From “ Are Extended RMDs A Gold Mine Or Tax Trap ?,” page 26

1 . If a surviving spouse withdraws $ 89,450 in required minimum distributions a year after becoming widowed , instead of taking it in RMD when both spouses were alive , their federal income tax liability rises to _____, or almost ___ higher . A . $ 10,122 , 60 % C . $ 15,833 , 70 % B . $ 12,222 , 65 % D . $ 18,192 , 77 %

2 . The child heirs of IRA participants are likely to face higher taxes in their peak earning years because of : A . The single filer penalty B . The SECURE Act ’ s removal of the stretch IRA C . Their step-up in basis on holdings D . None of the above

From “ Too Much Of A Good Thing ,” page 30 3 . A charitable remainder unitrust does which of the following ?

A . The trust makes an initial payment to the creator and holds the remainder to grow and be given to charity when the creator dies . B . The trust pays the beneficiary a yearly amount and gives the rest to charity when the creator dies . C . The trust pays the surviving spouse a monthly benefit . D . The trust splits the remainder of the fund between the beneficiary and a charity when the creator dies .

4 . Edward Jastrem ’ s client needed a charitable remainder trust , or CRUT , because he : A . Wanted to invest in the company he worked for B . Wanted to leave all of his money to charity C . Had received a large percentage of his company ’ s benefits in company stock D . Had a diverse portfolio , including a wide range of stocks

From “ Benchmarking With Apples And Oranges ,” page 41

5 . Six well-known indexes were used to build the portfolio models in Craig Israelsen ’ s story . Those indexes included all but the following : A . The S & P 500 B . The Bloomberg U . S . Aggregate Bond Index C . 90-day Treasury Bills D . The FTSE Nareit All Equity REIT Index

6 . In the author ’ s model equity portfolio , starting with $ 1 million , the average ending balance for 26 rolling 25-periods was _____. A . $ 1,045,900 B . $ 2,055,645 C . $ 3,065,896 D . $ 4,001,979

From “ Three Reasons Munis Are Right , Right Now ,” page 44

7 . The S & P Municipal Bond Index showed a ____ return for January 2023 , the highest monthly return since ____. A . 2.2 %, 2009 C . 3.68 %, 2010 B . 3.21 %, 2009 D . 4.1 %, 2018

8 . Back in October , municipal bond yields were as high as they ’ d been in the last ___ years . A . 5 B . 10 C . 12 D . 13

From “ A RILA-Roth Combo Can Solve Longevity Risk ,” page 54

9 . Allianz Life ’ s Schyler Adams took a hypothetical 58-year-old couple . They face total expenses of __ when they ’ re between ages 65 and 94 : A . $ 4.5 million B . $ 5.5 million C . $ 7.5 million D . $ 8.5 million

10 . The hypothetical couple in Adams ’ s example will have ___ contributed from Social Security , which is only about ____ of the total income they need between the ages of 65 and 94 . A . $ 1.8 million , 25 % C . $ 2.8 million , 40 % B . $ 2.2 million , 30 % D . $ 3.9 million , 52 %

60 | FINANCIAL ADVISOR MAGAZINE | MARCH 2023 WWW . FA-MAG . COM