7. David Collins died during the current year. The personal representative of David's estate reviewed the following assets. Stocks in David's name only Investment property in a trust that David has the right to revoke Primary home owned jointly with his wife (wife did not contribute to the purchase) Insurance policy owned by and insuring David with the proceeds payable to his daughter Vacation home owned jointly with his son (son did not contribute to the purchase) Cash placed in an irrevocable trust by David eight years ago with David's friend as trustee What is the value of David's gross estate for estate tax purposes? a. $3,500,000 b. $4,250,000 c. $5,300,000 d. $6,400,000 $ 2,000,000 1,500,000 1,000,000 800,000 500,000 600,000

7. David Collins died during the current year. The personal representative of David's estate reviewed the following assets. Stocks in David's name only Investment property in a trust that David has the right to revoke Primary home owned jointly with his wife (wife did not contribute to the purchase) Insurance policy owned by and insuring David with the proceeds payable to his daughter Vacation home owned jointly with his son (son did not contribute to the purchase) Cash placed in an irrevocable trust by David eight years ago with David's friend as trustee What is the value of David's gross estate for estate tax purposes? a. $3,500,000 b. $4,250,000 c. $5,300,000 d. $6,400,000 $ 2,000,000 1,500,000 1,000,000 800,000 500,000 600,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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