Determine the entire value of Westminster, Inc. using both the Excess Earning/Treasury Method.

Assume the following:

The five year weighted average adjusted net assets are $1,200,000.

The GAAP weighted average net assets are $990,000.

The company's current net assets are $1,050,000.

The 5 year weighted average historical after-tax economic earnings are $420.000.

The appropriate capitalization rate is 20%.

The industry weighted average return on equity is 15%.

The assumed reasonable rate on net assets is 12%.

a.$2,407,500

b.$1,050,000

c.$1,357,500

d. None of the above