For Mary Lou and Ernie, the assets and liabilities and the effective income tax rates at December 31, 2010, follow:

Required
a. Compute the estimated tax liability on the differences between the estimated current value of the assets and liabilities and their tax bases.
b. Present a statement of financial condition for Mary Lou and Ernie at December 31, 2010.
c. Comment on the statement of financialcondition.

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Effective Values over Incme Tax Amount of Estimated Income Taxes Accounts Marketable securitics Royalties Fumishings Mortgage