11. Grand vista distributing, inc., holds its pension plan assets in a trust. you have advised the company that the trust must satisfy several requirements to be valid. which of the following is one of those requirements?
Ans. Option C is correct (the trust must have a trustee).
Reason: Trusts are managed and administered by trustees. There should always be a trustee to administer the trust. Where as other three requirements i.e., trust is controlled by the employer, trust is established with a financial institution, the trust is irrevocable are not compulsion for trust to be valid trust. However there is no valid trust without trustee. So, trust must have trustee to be a valid trust.
Get Answers For Free
Most questions answered within 1 hours.