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What Is a Disadvantage of the "Prepaid College Tuition Plan

Question 96

Multiple Choice

What is a disadvantage of the "Prepaid College Tuition Plan" version of the 529 plan?


A) Distributions before age 59 1/2 incur a 10% tax penalty.
B) They generally guarantee that your child will be covered only if he or she attends a public in-state university or college.
C) They allow greater flexibility than the College Savings Plans.
D) All of the above.
E) None of the above.

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