Problem 25-50 (LO 25-3) (Static) [The following information applies to the questions displayed below] Tom Hruise was an entertainment executive who had a fatal accident on a film set. Tom's will directed his executor to distribute his cash and stock to his spouse, Kaffie, and the real estate to a church, The First Church of Methodology. The remainder of Tom's assets were to be placed in trust for three children. Tom's estate consisted of the following: Assets: Personal assets Cash and stock Intangible assets (film rights) Real estate Liabilities: Mortgage Other liabilities $ 800,000 24,000,000 71,500,000 15,000,000 $ 111,300,000 $ 3,200,000 4,100,000 $ 7,300,000 Problem 25-50 Part a (Static) a. Tom made a taxable gift of $8 million in 2011. Compute the estate tax for Tom's estate. (Refer to Exhibit 25-1 and Exhibit 25-2) Note: Enter your answers in dollars, not millions of dollars. Estate Tax Due

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Problem 25-50 (LO 25-3) (Static)
[The following information applies to the questions displayed below]
Tom Hruise was an entertainment executive who had a fatal accident on a film set. Tom's will directed his executor to
distribute his cash and stock to his spouse, Kaffie, and the real estate to a church, The First Church of Methodology. The
remainder of Tom's assets were to be placed in trust for three children. Tom's estate consisted of the following:
Assets:
Personal assets
Cash and stock
Intangible assets (film rights)
Real estate
Liabilities:
Mortgage
Other liabilities
$ 800,000
24,000,000
71,500,000
15,000,000
$ 111,300,000
$ 3,200,000
4,100,000
$ 7,300,000
Problem 25-50 Part a (Static)
a. Tom made a taxable gift of $8 million in 2011. Compute the estate tax for Tom's estate. (Refer to Exhibit 25-1 and Exhibit 25-2)
Note: Enter your answers in dollars, not millions of dollars.
Estate Tax Due
Transcribed Image Text:Problem 25-50 (LO 25-3) (Static) [The following information applies to the questions displayed below] Tom Hruise was an entertainment executive who had a fatal accident on a film set. Tom's will directed his executor to distribute his cash and stock to his spouse, Kaffie, and the real estate to a church, The First Church of Methodology. The remainder of Tom's assets were to be placed in trust for three children. Tom's estate consisted of the following: Assets: Personal assets Cash and stock Intangible assets (film rights) Real estate Liabilities: Mortgage Other liabilities $ 800,000 24,000,000 71,500,000 15,000,000 $ 111,300,000 $ 3,200,000 4,100,000 $ 7,300,000 Problem 25-50 Part a (Static) a. Tom made a taxable gift of $8 million in 2011. Compute the estate tax for Tom's estate. (Refer to Exhibit 25-1 and Exhibit 25-2) Note: Enter your answers in dollars, not millions of dollars. Estate Tax Due
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