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At the Time of Bradley's Death, He Owned 60% of the Stock

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At the time of Bradley's death, he owned 60% of the stock of Sigma Corporation, a closely held family business.Over the past five years, Sigma has averaged annual profits of $300,000 in an industry where the usual rate of return is 8%.If the book value of Sigma Corporation's assets is $2,500,000 and goodwill exists, what might be a realistic value for the stock included in Bradley's gross estate?

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Definitions:

Trapezius Muscle

A large superficial muscle that extends from the occipital bone to the lower thoracic vertebrae and to the scapula, involved in moving, rotating, and stabilizing the scapula and extending the neck.

Laterally Flex

To bend the body or a part of the body to the side.

Extend Neck

The action of increasing the angle between the head and the torso, involving muscles in the neck and upper back.

Longus Capitis

A muscle in the neck that aids in flexing the head and neck forward, contributing to head movement and stability.

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