1) John died in 2013, leaving the estate of $23,000,000. John's wife died in 2011. In 2010, John gave his son property which resulted in the taxable gift of $3,000,000 and upon which Michael rewarded $885,000 in transfer taxes. John had made no other taxable gifts during his life. John’s will provide a charitable bequest of $1,000,000 to his church. Find out federal transfer tax on John 's estate.
2) Determine the current value of $4,500 under each of the given rates and periods.
i) 8.9 percent compounded monthly for five years.
ii) 6.6 percent compounded quarterly for eight years.
iii) 4.3 percent compounded daily for four years.
iv) 5.7 percent compounded continuously for three years.