Bill, a single man, having made full use of his annual gift allowances, made a potentially exempt transfer of £100,000

[answerhappygod]

Bill, a single man, having made full use of his annual gift allowances, made a potentially exempt transfer of £100,000 four and a half years before his death. He has made no other gifts. His residual estate is now valued at £500,000. The Inheritance Tax liability at death is:

A. £30,000
B. £46,000
C. £94,000
D. £110,000