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NEW QUESTION: 1
Uncle Scrooge (uncharacteristically) wants to set up a Section 529 college savings plan for his nephew,
Louie. If he does so:
A. and Louie decides not to go to college, Uncle Scrooge can name Louie's brother, Huey, as the
beneficiary of the plan without any tax consequences.
B. he can contribute at most $2,000 a year.
C. any withdrawals that Louie makes to cover tuition, books, and room and board will be free from both
federal and state taxes.
D. his contributions will be tax deductible.
Answer: A
Explanation:
If Uncle Scrooge sets up a Section 529 college savings plan for his nephew Louie, and Louie
decides not to go to college, Uncle Scrooge can name Louie's brother, Huey, as the beneficiary of the
plan without any tax consequences. Unlike the Coverdell Education Savings Plan, there is no limit to the
contribution that can be made, although gift taxes may apply if the contribution exceeds the threshold for
gifts. Scrooge's contributions are not tax deductible, and although any withdrawals Louie makes will be
free from federal taxation, different states have different rules regarding the taxation of 529 plans.

NEW QUESTION: 2
An administrator is migrating a virtual machine from a Test cluster to a Production cluster.
The two environments do not have any shared storage.
What is the easiest way to accomplish this task?
A. Perform a Virtual to Virtual migration.
B. Perform a Storage vMotion.
C. Perform a backup and restore using VMware Data Protection.
D. Perform a regular vMotion.
Answer: D

NEW QUESTION: 3
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