1. Sally and Mary are sisters. Sally owns a life insurance policy on Mary and has named Mary's only child Tom as the beneficiary. Sally transfers the policy to Tom on January 1^st of this year. The policy terminal reserve is $25,000 on July 1^st of last year and $30,000 on July 1^st of this year. If Sally paid the full $3,000 annual premium on July 1^st of this year, the value of the policy for gift tax purposes is ___________. Calculate the interpolated terminal reserve below.

with solution pls.