income and princ

Question 1

life tenant

Answer 1

life tenatn gets
1. cash div
2. interest income
nbet beusiness income

life tenant’s interest pays for the following

1. interest on debt
2. taxes
3. minor repair

Question 2

income and expenses to remainderman

Answer 2

remainderman get the followi

1. stock dividends
2. stock splits
3. net proceeds form teh sale of trust assets

interest pays for

1. princiapl part of laon debt
2. majjor repairs or impreovemnets

Question 3

adjustment power of trustee

Answer 3

trustee can disregard above stated rules o fallocation to life tenant and tremainder man if different allocation is ncessry to administer trust fairly