If you reverse the order of a couple statements, it is a disaster.

1 Today’s date is 8 June 2005.

David and Debbie were an elderly couple who had worked hard and over a number of years they built up a successful

family company, Dee Limited. Their success allowed them to accumulate a series of investments. David died in May

2005. Debbie is 66 and still in good health.

The couple had two children, Andrew and Allison. Andrew, aged 37, is single but is shortly to be married. He is the

managing director of the family trading company, Dee Limited, which was set up 30 years ago by David and Debbie.

Both Andrew and Allison are shareholders in the company, although Allison does not work for the company. She is

32, and lives abroad with her husband and two children (aged 2 and 4) in a villa gifted to her by Debbie in June

2003. The villa was worth ￡180,000 at that time, but the current value has fallen to ￡110,000 as a result of

exchange rate movements.

Dee Limited is currently worth ￡1,260,000 in total, and the value is unlikely to change in the foreseeable future. The

shareholdings in the company at the date of David’s death (May 2005) were held as follows:

Required:

(a) Calculate the inheritance tax (IHT) that will be payable as a result of David’s death. Your answer should

include calculations of the tax arising on any lifetime transfers and give reasons for any reliefs given.

(12 marks)

[1] Expertise is commitment coupled with creativity. Specifically, it is the commitment of time, energy, and resources to a relatively narrow field of study and the creative energy necessary to generate new knowledge in that field. It takes a considerable amount of time and regular exposure to a large number of cases to become an expert.

[2] An individual enters a field of study as a novice. The novice needs to learn the guiding principles and rules of a given task in order to perform. that task. Concurrently, the novice needs to be exposed to specific cases, or instances, that test the boundaries of such principles. Generally, a novice will find a mentor to guide her through the process of acquiring new knowledge. A fairly simple example would be someone learning to play chess. The novice chess player seeks a mentor to teach her the object of the game, the number of spaces, the names of the pieces, the function of each piece, how each piece is moved, and the necessary conditions for winning or losing the game.

[3] In time, and with much practice, the novice begins to recognize patterns of behavior. within cases and, thus, becomes a journeyman. With more practice and exposure to increasingly complex cases, the journeyman finds patterns not only within cases but also between cases. More importantly, the journeyman learns that these patterns often repeat themselves over time. The journeyman still maintains regular contact with a mentor to solve specific problems and learn more complex strategies. Returning to the example of the chess player, the individual begins to learn patterns of opening moves, offensive and defensive game-playing strategies, and patterns of victory and defeat.

[4] When a journeyman starts to make and test hypotheses about future behavior. based on past experiences, she begins the next transition. Once she creatively generates knowledge, rather than simply matching superficial patterns, she becomes an expert. At this point, she is confident in her knowledge and no longer needs a mentor as a guide——she becomes responsible for her own knowledge. In the chess example, once a journeyman begins competing against experts, makes predictions based on patterns, and tests those predictions against actual behavior, she generating new knowledge and a deeper understanding of the game. She is creating her own cases rather than relying on the cases of others.

The power of Expertise

[5] An expert perceives meaningful patterns in her domain better than non-experts. Where a novice perceives random or disconnected data points, an expert connects regular patterns within and between cases. This ability to identify patterns is not an innate perceptual skill; rather it reflects the organization of knowledge after exposure to and experience with thousands of cases.

[6] Experts have a deeper understanding of their domains than novices do, and utilize higher-order principles to solve problems. A novice, for example, might group objects together by color or size, whereas an expert would group the same objects according to their function or utility. Experts comprehend the meaning of data and weigh variables with different criteria within their domains better than novices. Experts recognize variables that have the largest influence on a particular problem and focus their attention on those variables.

[7] Experts have better domain-specific short-term and long-term memory than novices do. Moreover, experts perform. tasks in their domains faster than novices and commit fewer errors while problem solving. Interestingly, experts go about solving problems differently than novices. Experts spend more time thinking about a problem to fully understand it at the beginning of a task than do novices, who immediately seek to find a solution. Experts use their knowledge of previous cases as context for creating mental models to solve given problems.

[8] Better at self-monitoring than novices, experts are more aware of instances where they have committed errors or failed to understand a problem. Experts check their solutions more often than novices and recognize when they are missing information necessary for solving a problem. Experts are aware of the limits of their domain knowledge and apply their domain’s heuristics to solve problems that fall outside of their experience base.

The Paradox of Expertise

[9] The strengths of expertise can also be weaknesses. Although one would expect experts to be good forecaster, they are not particularly good at making predictions about the future. Since the 1930s, researchers have been testing the ability of experts to make forecasts. The performance of experts has been tested against actuarial tables to determine if they are better at making predictions than simple statistical models. Seventy years later, with more than two hundred experiments in different domains, it is clear that the answer is no. If supplied with an equal amount of data about a particular case, an actuarial table is as good, or better, than an expert at making calls about the future. Even if an expert is given more specific case information than is available to the statistical model, the expert does not tend to outperform. the actuarial table.

[10] Theorists and researchers differ when trying to explain why experts are less accurate forecasters than statistical models. Some have argued that experts, like all humans, are inconsistent when using mental models to make predictions. That is, the model an expert uses for predicting X in one month is different from the model used for predicting X in a following month, although precisely the same case and same data set are used in both instances.

[11] A number of researchers point to human biases to explain unreliable expert predictions. During the last 30 years, researchers have categorized, experimented, and theorized about the cognitive aspects of forecasting. Despite such efforts, the literature shows little consensus regarding the causes or manifestations of human bias.

41、Why will a novice find a mentor?()

A.In order to teach her how to play chess.

B.In order to guide her through the process of acquiring new knowledge.

C.In order to tell her the errors she had made.

D.In order to have a good cooperation with her.

42、Which of the following is NOT true about a journeyman?()

A.He/She starts to identify patterns of behavior. within and between case.

B.He/She exposes to complex cases.

C.He/She performs tasks independently without the help of a mentor.

D.He/She contacts a mentor when facing difficult problems.

43、According to the author, which is the correct order before someone becomes an expert?()

A.Novice-journeyman-expert.

B.Journeyman-novice-expert.

C.Novice-mentor-expert.

D.Mentor-novice-expert.

44、How will an expert group objects?()

A.By color.

B.By size.

C.By function.

D.By prize.

45、Which one is NOT true about an expert?()

A.Perceive meaningful patterns in her domain better than non-experts.

B.Have a deeper understanding of her domain than a novice.

C.She is better at self-monitoring than a novice.

D.She is a better forecaster than a novice.

Judge the similar meaning of the couple sentences.

If you change your career, your skills will go to waste.

You can take your skills from one job to another, which might not be used in the same way.

TEXT B

Considering that anxiety makes your palms sweat, your heart race, and your brain seize up like a car with a busted transmission, it's no wonder people reach for the Xanax to vanquish it. But in a surlmse, re- searchers who study emotion regulation-how we cope, or fail to cope, with the daily swirl of feelings-are discovering that many anxious people are bound and determined (though not always consciously) to cultivate anxiety. The reason, studies suggest, is that for some people anxiety boosts cognitive performance.

In one recent study, psychologist Maya Tamir of Hebrew University in Jerusalem gave 47 undergraduates a standard test of neuroticism, which asks people if they agree with such statements as "I get stressed out easily." She then presented the volunteers with a list of tasks, either difficult (giving a speech, taking a test) or easy (washing dishes), and asked which emotion they would prefer to be feeling before each. The more neurotic subjects were significantly more likely to choose feeling worried before a demanding task; non-neurotic subjects chose other emotions. Apparently, the neurotics had a good reason to opt for anxiety: when Tamir gave everyone anagrams to solve, the neurotics who had just written about an event that had caused them anxiety did better than neurotics who had recalled a happier memory. Among non-neurotics, putting themselves in an anxious frame. of mind had no effect on performance.

In other people, anxiety is not about usefulness but familiarity, finds psychology researcher Brett Ford of the University of Denver. She measured the "trait emotions" (feelings people tend to have most of the time) of 139 undergraduates, using a questionnaire that lists emotions and asks "to what extent you feel this way in general." She then grouped the students into those characterized by "trait fear" (those who tended to be anxious, worried, or nervous), "trait anger" (chronically angry, irritated, or annoyed), and "trait happy" (the cheerful, joyful gang). Six months later, the volunteers returned to Ford's lab. This time she gave them a list of emotions and asked which they wanted to experience. Not surprisingly, the cheerful bunch wanted to be happy. But in a shock for those who think anyone who is chronically anxious can't wait to get thek hands on some Ativan (氯羟安定), those with "trait fear" said they wanted to be worried and nervous-even though it felt subjectively unpleasant. (The "trait angry" students tended to prefer feeling the same way, too.) Wanting to feel an emotion is not the same thing as enjoying that emotion, points out neuroscientist Kent Berridge of the University of Michigan, who discovered that wanting and liking aremediated by two distinct sets of neurotransmitters.

In some cases, the need to experience anxiety can lead to a state that looks very much like addiction to anxiety. "There are people who have extreme agitation, but they can't understand why," says psychiatrist Harris Stratyner of Mount Sinai School of Medicine in New York. They therefore latch on to any cause to explain what they're feeling. That rationalization doubles back and exacerbates the anxiety. "Some people,"

he adds, "get addicted to feeling anxious because that's the state that they've always known. If they feel a sense of calm, they get bored; they feel empty inside. They want to feel anxious." Notice he didn't say "like. "

The studies of emotion regulation suggest that

[A] anxiety can cause palms to sweat and hearts to race.

[B] anxiety can be vanquished by Xanax.

[C] anxious people tend to feel uncomfortable.

[D] anxiety can enhance cognitive competence.