FCS 407: Estate Planning for Families Land Sale and Estate Planning Assignment 1. In March of year one, Darcie sold land for $500,000. Her basis was $340,000. Accepting a down payment of $90,000, she took back an installment note of $410,000. She agreed to ten payments of $41,000 each, with the first one three months after the escrow closes and subsequent payments due on June 15th of each year until paid. Darcie collected the first four payments before she died. Her executor collected one payment before distributing the note to the three children, Arnold, Bobbie, and Charles, as tenants in common. They collected the final five payments. a. What is the note's gain recognition percentage and the note's basis percentage? b. Construct a table that shows by year (rows) the following (columns): recipient, principal received, gain recognized, note balance (after the payment), basis in the note. c. State how much gain was recognized by Darcie, by the estate, and by each of her three children. Does the total gain recognized square with the $160,000 that should be reported