1. The gross estate is the value of an individual’s estate before taxes and debts are deducted. Assets used to calculate the gross estate include bank accounts, investment accounts, stocks and bonds, personal effects, vehicles, life insurance, retirement accounts, and real estate. The taxable estate is the value of the assets that are taxable (the gross estate) minus liabilities and any tax deductible assets.
2. An Inherited IRA is a way to “stretch” the benefits of an IRA. To take advantage of a stretch IRA it is important to designate beneficiaries properly. With an inherited IRA, the beneficiary is able to stretch RMDs from the inherited IRA over their life expectancy allowing the IRA to continue to grow.
3. To create an account with the …show more content…
Ronald Wayne was the third co-founder of Apple and was a 10 percent shareholder of Apple Computer in 1976. He sold his shares back to the co-founders for $800 fearing any financial burdens would fall on him. Today, his shares would be worth around $80 billion. Google had to halt trading in 2012 due to financial figures being prematurely released indicating profits had dropped with a lot of concern surrounding advertising revenue. The company blamed for printing the figures prematurely is R.R. Donnelley. The term “fat finger” refers to a human error caused by pressing the wrong key when entering data into a computer. The Japanese broker was …show more content…
The book “The Investment Answer” is a general guide to investments for investors of all levels that explains the fundamentals of investing simply and asks readers to make five basic decisions so investors can have a more effective investment strategy.
3. A “unit investment trust” is a type of investment company. UITs do not have a board of directors and are normally minimally supervised by a trustee. UITs use the IPO process when shares are initially issued. Some characteristics of UITs are they typically issue redeemable securities, they have a termination date, and they do not actively trade its investment portfolio.
4. A value mutual fund is a fund that’s intent is to invest in stocks that are undervalued in price based on fundamental characteristics. The value mutual fund follows a value investing strategy. Value mutual funds are perceived to be less risky and less expensive compared to other fund types. The premise is investing in stocks considered a bargain with the expectation that the prices will eventually rise to their value. If the stocks do not appreciate in value, investors still benefit from dividend payments. Funds are often categorized by market
2. An Inherited IRA is a way to “stretch” the benefits of an IRA. To take advantage of a stretch IRA it is important to designate beneficiaries properly. With an inherited IRA, the beneficiary is able to stretch RMDs from the inherited IRA over their life expectancy allowing the IRA to continue to grow.
3. To create an account with the …show more content…
Ronald Wayne was the third co-founder of Apple and was a 10 percent shareholder of Apple Computer in 1976. He sold his shares back to the co-founders for $800 fearing any financial burdens would fall on him. Today, his shares would be worth around $80 billion. Google had to halt trading in 2012 due to financial figures being prematurely released indicating profits had dropped with a lot of concern surrounding advertising revenue. The company blamed for printing the figures prematurely is R.R. Donnelley. The term “fat finger” refers to a human error caused by pressing the wrong key when entering data into a computer. The Japanese broker was …show more content…
The book “The Investment Answer” is a general guide to investments for investors of all levels that explains the fundamentals of investing simply and asks readers to make five basic decisions so investors can have a more effective investment strategy.
3. A “unit investment trust” is a type of investment company. UITs do not have a board of directors and are normally minimally supervised by a trustee. UITs use the IPO process when shares are initially issued. Some characteristics of UITs are they typically issue redeemable securities, they have a termination date, and they do not actively trade its investment portfolio.
4. A value mutual fund is a fund that’s intent is to invest in stocks that are undervalued in price based on fundamental characteristics. The value mutual fund follows a value investing strategy. Value mutual funds are perceived to be less risky and less expensive compared to other fund types. The premise is investing in stocks considered a bargain with the expectation that the prices will eventually rise to their value. If the stocks do not appreciate in value, investors still benefit from dividend payments. Funds are often categorized by market