Following are the fair market values of Wald’s assets at the date of death:

Personal effects and jewelry

$650,000

Land bought by Wald with Wald’s funds five years prior to death and held with Wald’s sister as joint tenants with right of survivorship

1,900,000

The executor of Wald’s estate did not elect the alternate valuation date. The amount includible as Wald’s gross estate in the Federal estate tax return is

  1. $ 650,000
  2. $1,600,000
  3. $1,900,000
  4. $2,550,000