Question

The executor of Danny Mack's estate has listed the following properties at fair value: Cash $200,000, Life Insurance Receivable $500,000, Investment in Stocks and Bonds $50,000, Rental Property $100,000, and Personal Property $80,000. Additionally, the executor found $100,000 of various debts incurred before the decedent's death. The cost of Danny Mack's funeral was $20,000.Prepare a Charge and Discharge Statement for the estate.

Answer 1

Charge & Discharge statement

Particulars Amount

Cash $200,000

Life insurance receivable $500,000

Investment in stock & bonds $50,000

Rental property $100,000

Personal property $80,000

Balance before discharge $930,000

Less: Discharge

Debts $100,000

cost of funeral $20,000 $120,000

Leaving a principal balance $810,000