Compute the undervaluation penalty for each of the following independent cases involving the executor's reporting of the value of a closely held business in the decedent's gross estate. In each case, assume a marginal Federal estate tax rate of 40%. $\begin{array}{rr}
&\text { Reported Value } & \text { Corrected IRS Value } \
a.&\$ 10,000 & \$ 20,000 \
b.&60,000 & 100,000 \
c.&80,000 & 150,000 \
d.&50,000 & 300,000
\end{array}$

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The Answer of Compute the undervaluation penalty for each of the following independent cases involving the executor's reporting of the value of a closely held business in the decedent's gross estate. In each case, assume a marginal Federal estate tax rate of 40%. $\begin{array}{rr}
&\text { Reported Value } & \text { Corrected IRS Value } \
a.&\$ 10,000 & \$ 20,000 \
b.&60,000 & 100,000 \
c.&80,000 & 150,000 \
d.&50,000 & 300,000
\end{array}$

Compute the Undervaluation Penalty for Each of the Following Independent