Mary goes to her stockbroker, purchases 30 shares of P & G stock, and instructs the broker to register the stock in her husband Warren's name.If this stock is intended as a Valentine's gift, Warren becomes:

Question

Quizplus · Accepted Answer

Warren becomes a donee beneficiary because he is receiving the stock as a gift from Mary, without giving consideration in return. In this context, a donee beneficiary is someone who benefits from a gift, which in this case is the stock.

Mary Goes to Her Stockbroker, Purchases 30 Shares of P