Suppose that the treasurer of IBM has an extra cash reserve of $10,000,000 to invest for three months. The three-month interest rate is 4 percent per annum in the United States and 6 percent per annum in Germany. Currently, the spot exchange rate is $1.44 per euro and the three-month forward exchange rate is $1.40 per euro. The treasurer of IBM does not wish to bear any exchange risk. Where should he/she invest to maximize the return

Which of the following is true concerning the 5/5 lapse rule? a) the 5/5 lapse rule deems that a taxable gift has been made where a power to withdraw in excess of $5,000 or five percent of the trust assets is lapsed by the powerholder. b) the 5/5 lapse rule only comes into play with a single beneficiary trust. c) amounts that lapse under the 5/5 lapse rule qualify for the annual exclusion. d) gifts over the 5/5 lapse rule do not have to be disclosed on a gift tax return.