Transfer methods-advantages and disadvantages to parties

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Reference no: EM131057706

1. Fred and Ingred (married) have identified five possible ways that they could effect the transfer of the deli to Molly (their daughter-in-law).Describe the transfer methods and the advantages and disadvantages to the parties.

a) Outright gift

b) Private annuity

c) Self- canceling installment note (SCIN)

d) Grantor retained annuity trust

e) Family limited partnership

2. Assume Marvin's Section 401(k) plan balance of $10,000 is equally invested in two mutual funds. Mutual Fund A has a standard deviation of 8%, and Mutual Fund B has a standard deviation of 11%. Assume the correlation coefficient of the funds is 75%. Calculate the standard deviation of the two-asset portfolio.

Reference no: EM131057706

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