Executor and Administrator Responsibilities: Duties and Legal Obligations

Question 1

What is a primary responsibility of an executor or administrator in estate administration?

Accepted Answer

Gathering the decedent's assets, paying their debts, and distributing the remaining property

Answer

Selling the decedent's assets without court approval

Answer

Distributing the decedent's property within one year of their death

Answer

Being personally liable for the decedent's debts

Question 2

What is the primary responsibility of an executor or administrator in managing an estate?

Accepted Answer

Distributing estate assets according to the will

Answer

Challenging the validity of the will

Answer

Representing the deceased in legal disputes

Answer

Preparing the deceased's tax returns

Question 3

In the United States, which legal entity has the authority to appoint an administrator for an estate where there is no will?

Accepted Answer

Probate court

Answer

Surviving spouse

Answer

Closest living relative

Question 4

In the administration of an estate, what should be the executor or administrator's primary focus when paying off debts and distributing property?

Accepted Answer

Adhering to legal requirements and the will's provisions

Answer

Prioritizing the fulfillment of beneficiaries' wishes

Answer

Swiftly distributing property and settling debts

Question 5

Compare the key differences in the powers and responsibilities of executors and administrators across jurisdictions.

Accepted Answer

Executors typically have broader powers than administrators, but this can vary by jurisdiction.

Answer

Administrators are solely responsible for distributing the estate's assets.

Answer

Executors are always appointed by the court, while administrators are appointed by the will.

Answer

Administrators are not required to file an accounting with the court in any jurisdiction.

Question 6

Which of the following is NOT a power granted to an executor or administrator?

Accepted Answer

Investing estate funds without court approval

Answer

Taking possession of estate property

Answer

Selling estate assets with court approval

Answer

Executing contracts on behalf of the estate with court approval

Question 7

What is the primary purpose of an inventory in estate administration?

Accepted Answer

To identify and value estate assets

Answer

To determine the amount of inheritance tax due

Answer

To distribute property to beneficiaries

Answer

To pay creditors

Question 8

What is the primary distinction between an executor and an administrator?

Accepted Answer

An executor is appointed by a will, while an administrator is appointed by the court when there is no will

Answer

An administrator has more powers than an executor

Answer

An executor is responsible for distributing property, while an administrator is responsible for paying debts

Answer

An executor is paid more than an administrator

Question 9

How can estate planning potentially minimize estate taxes?

Accepted Answer

By reducing the taxable value of an estate through various legal strategies

Answer

By delaying the payment of estate taxes

Answer

By eliminating estate taxes entirely

Answer

Estate planning does not affect estate taxes

Question 10

Which of the following is a common duty of an executor or administrator related to property distribution?

Accepted Answer

Distributing property according to the deceased's will or, in its absence, according to the rules of intestacy

Answer

Distributing property equally among all beneficiaries

Answer

Selling property to pay estate debts

Answer

Investing property for the benefit of beneficiaries

Question 11

In estate administration, what is the executor or administrator primarily responsible for when paying off debts and distributing property?

Accepted Answer

Balancing the interests of creditors and beneficiaries to ensure fair and equitable distribution

Answer

Paying off all debts in full, regardless of the estate's assets

Answer

Distributing property to beneficiaries without considering the estate's debts

Question 12

Which of the following is NOT a primary duty of an executor or administrator?

Accepted Answer

Representing the deceased in ongoing litigation

Answer

Gathering and preserving the decedent's assets

Answer

Paying the decedent's debts and taxes

Answer

Distributing the decedent's property to heirs and beneficiaries

Question 13

What is the primary difference between an executor and an administrator?

Accepted Answer

An executor is named in the will, while an administrator is appointed by the court

Answer

An executor has more power than an administrator

Answer

An executor handles smaller estates, while an administrator handles larger estates

Question 14

Under most circumstances, which of the following actions by an executor or administrator requires court approval?

Accepted Answer

Selling real property

Answer

Preparing tax returns

Answer

Paying creditors

Answer

Distributing assets to beneficiaries

Question 15

What is the primary purpose of an inventory prepared by an executor or administrator?

Accepted Answer

To identify and value the assets and liabilities of the estate

Answer

To file tax returns

Answer

To distribute assets to beneficiaries

Answer

To document the debts of the estate

Question 16

Which of the following is NOT a potential ground for removal of an executor or administrator?

Accepted Answer

Competence

Answer

Misconduct

Answer

Incapacity

Question 17

What are the rights of beneficiaries in estate administration?

Accepted Answer

They have a right to receive information about the estate and may object to the actions of the executor or administrator

Answer

They have the authority to make decisions about the distribution of assets

Question 18

What is the main purpose of the probate process in the United States?

Accepted Answer

To validate the will and appoint an executor or administrator

Answer

To determine the amount of inheritance tax due

Answer

To resolve disputes among heirs and beneficiaries

Question 19

Which of the following situations could create a conflict of interest for an executor or administrator?

Accepted Answer

Being a close relative of the deceased and a beneficiary of the estate

Answer

Having a personal friendship with the attorney for the estate

Answer

Being a licensed attorney

Answer

Having previous experience in estate administration

Question 20

What is the primary distinction between an executor and an administrator?

Accepted Answer

An executor is appointed by the deceased in their will, while an administrator is appointed by the court

Answer

An executor has more power than an administrator

Answer

An administrator is typically appointed when there is a dispute over the will

Question 21

What is the primary purpose of an inventory in estate administration?

Accepted Answer

To provide a detailed list and valuation of all assets owned by the deceased at the time of their death

Answer

To distribute property to heirs and beneficiaries

Answer

To determine the value of the estate for tax purposes

Question 22

Which of the following debts typically has the lowest priority for payment in estate administration?

Accepted Answer

Credit card bills

Answer

Funeral expenses

Answer

Taxes

Answer

Medical expenses

Question 23

Who is entitled to receive any remaining assets of the estate after all other distributions and expenses have been paid?

Accepted Answer

Residuary legatee

Answer

Specific legatee

Answer

Executor or administrator

Question 24

What is the purpose of an accounting in estate administration?

Accepted Answer

To provide a transparent and auditable record of all financial transactions related to the estate

Answer

To determine the value of the estate for tax purposes

Answer

To distribute property to heirs and beneficiaries

Question 25

Which of the following is considered a best practice for executors or administrators?

Accepted Answer

Maintaining accurate and organized records of all estate transactions

Answer

Distributing property to heirs without obtaining court approval

Answer

Ignoring potential conflicts of interest

Answer

Investing estate assets in high-risk ventures

Question 26

Which of the following is a primary responsibility of an executor or administrator of an estate?

Accepted Answer

Gathering and managing the assets of the deceased's estate

Answer

Immediately distributing property to the heirs without probate

Answer

Selling real estate without court approval

Answer

Waiving creditors' claims without authorization

Question 27

The authority of an executor to administer an estate is typically derived from:

Accepted Answer

The will of the deceased, if one exists

Answer

Direct appointment by the court

Answer

Letters of administration issued by the probate court, in the absence of a will

Question 28

An executor's or administrator's duty to account for the administration of an estate includes:

Accepted Answer

Providing detailed and accurate records of all financial transactions

Answer

Seeking court approval for all significant decisions

Answer

Distributing assets without regard to creditors' claims

Question 29

One of the advantages of hiring a professional executor or administrator is:

Accepted Answer

Their expertise in estate administration, tax planning, and legal matters

Answer

Lower fees compared to regular executors or administrators

Answer

A guarantee that assets will be distributed to the heirs within a short timeframe

Question 30

Which of the following is the primary duty of an executor or administrator?

Accepted Answer

To administer and distribute the estate assets according to the decedent's wishes and the law

Answer

To pay off the decedent's debts

Answer

To represent the decedent's interests in court

Question 31

Which of the following actions exceeds the authority of an executor or administrator?

Accepted Answer

Selling estate property without court approval

Answer

Distributing estate assets to beneficiaries

Answer

Collecting debts owed to the estate

Answer

Paying off the decedent's debts

Question 32

Following their appointment, what is the initial step an executor or administrator should take?

Accepted Answer

Filing an inventory of estate assets with the probate court

Answer

Paying off the decedent's debts

Answer

Distributing the estate to the beneficiaries

Question 33

Who is responsible for appointing an executor or administrator?

Accepted Answer

The probate court

Answer

The decedent's family

Answer

The decedent's attorney

Answer

The decedent's creditors

Question 34

What is the key distinction between an executor and an administrator?

Accepted Answer

An executor is named in the decedent's will, while an administrator is appointed by the court when there is no will or when the named executor cannot serve

Answer

Executors possess greater authority than administrators

Question 35

What role does the probate court play in estate administration?

Accepted Answer

To supervise the executor or administrator and ensure proper administration of the estate

Answer

To determine the validity of the will

Answer

To distribute the estate to the beneficiaries

Question 36

To what extent is an executor or administrator liable for the debts of the estate?

Accepted Answer

Limited to the value of the estate assets

Answer

Unlimited liability

Answer

Only in cases of negligence

Answer

Only if the executor or administrator personally guaranteed the debts

Question 37

What is the primary fiduciary duty of an executor or administrator towards the beneficiaries?

Accepted Answer

To act in their best interests and distribute the estate according to the decedent's wishes

Answer

To maximize the value of the estate

Answer

To avoid any potential conflicts of interest

Question 38

What is the distinction between probate and administration?

Accepted Answer

Probate is the process of proving a will, while administration is the process of managing an estate without a will

Answer

Probate is only necessary for large estates

Question 39

In general, who has priority to be appointed as an executor or administrator?

Accepted Answer

The person nominated in the will (if any)

Answer

The closest living relative

Answer

The creditor with the largest claim

Answer

The surviving spouse

Question 40

Which of the following is a key consideration in determining the solvency of an estate?

Accepted Answer

The ratio of assets to liabilities

Answer

The number of beneficiaries named in the will

Answer

The value of the decedent's personal property

Answer

The size of the decedent's funeral expenses

Question 41

What is the primary purpose of an estate inventory?

Accepted Answer

To identify and value all estate assets

Answer

To pay off the decedent's debts

Answer

To provide guidance on how to distribute the estate

Answer

To determine the heirs and beneficiaries

Question 42

What is the purpose of appointing a 'special administrator'?

Accepted Answer

To handle urgent matters before a permanent executor or administrator is appointed

Answer

To mediate disputes among beneficiaries

Answer

To provide legal advice to the estate

Answer

To oversee the distribution of assets to creditors

Question 43

What is the difference between 'probate' and 'administration'?

Accepted Answer

Probate is for estates with a will, while administration is for estates without a will

Answer

Probate is required for all estates, regardless of size

Answer

Probate is more expensive than administration

Answer

Probate is handled by a court, while administration is handled by an attorney

Question 44

Which of the following is NOT a duty of an executor or administrator with respect to creditors?

Accepted Answer

Distributing assets to creditors who have not filed a claim

Answer

Paying legitimate claims in a timely manner

Answer

Distributing assets in accordance with the will (if any)

Answer

Identifying and notifying creditors

Question 45

What is the role of a 'residuary beneficiary'?

Accepted Answer

To receive any remaining assets after all debts, expenses, and specific gifts have been satisfied

Answer

To represent the interests of the heirs

Answer

To oversee the administration of the estate

Answer

To challenge the validity of the will

Question 46

What is the first official step an executor or administrator takes after being appointed?

Accepted Answer

Filing a petition with the probate court to formally begin the estate administration.

Answer

Locating and securing the deceased's assets.

Answer

Paying the deceased's funeral expenses.

Answer

Notifying the beneficiaries of the estate.

Question 47

Which of these actions requires court approval before an executor or administrator can take it?

Accepted Answer

Selling the deceased's property.

Answer

Distributing the deceased's property according to the will.

Answer

Collecting debts owed to the deceased.

Question 48

Which of the following is NOT a core duty of an executor or administrator?

Accepted Answer

Providing legal advice to beneficiaries.

Answer

Distributing the remaining assets to beneficiaries.

Answer

Gathering the deceased's assets.

Answer

Paying the deceased's debts.

Question 49

A decedent's will instructs the executor to sell a specific piece of real estate and distribute the proceeds to the beneficiaries. However, one beneficiary objects to the sale. What is the executor's most appropriate course of action?

Accepted Answer

Seek court approval for the sale.

Answer

Negotiate with the objecting beneficiary to reach a compromise.

Answer

Ignore the objection and proceed with the sale.

Answer

Delay the sale until the objection is resolved.

Question 50

An executor discovers that the deceased had significant debts exceeding the value of the estate's assets. How should the executor handle the deceased's creditors?

Accepted Answer

Pay creditors according to the priority established by law.

Answer

Negotiate with creditors to reduce the debt.

Answer

Ignore the debts and distribute the assets to beneficiaries.

Question 51

A will designates a specific beneficiary to receive a particular asset, but the beneficiary dies before the testator. Which legal principle likely determines the disposition of that asset?

Accepted Answer

Lapse

Answer

Abatement

Answer

Cy pres

Answer

Ademption

Question 52

What are the primary sources of information for an executor or administrator to understand their duties and responsibilities?

Accepted Answer

The deceased's will (if any) and applicable state law.

Answer

The advice of beneficiaries.

Answer

The estate's financial records.

Question 53

An executor is responsible for filing a final tax return for the deceased. What type of tax return is this?

Accepted Answer

Estate tax return.

Answer

Property tax return.

Answer

Gift tax return.

Answer

Income tax return.

Question 54

Why is an executor required to provide an accounting of the estate's assets and liabilities to the beneficiaries?

Accepted Answer

To ensure transparency and demonstrate proper management of the estate.

Answer

To identify any potential disputes among beneficiaries.

Answer

To determine the value of the estate for tax purposes.

Question 55

In which of the following situations would an executor typically need court approval before taking action?

Accepted Answer

Selling a substantial asset of the estate, such as a family business.

Answer

Distributing small personal property items to beneficiaries.

Answer

Paying a routine monthly utility bill.

Question 56

What is the executor's final responsibility after completing the estate administration process?

Accepted Answer

File a final accounting with the court and petition for discharge.

Answer

Distribute any remaining estate funds to the executor as compensation.

Answer

Transfer ownership of the estate assets to the beneficiaries.