Mike makes the following transfers:

2 years ago:

Life insurance policy on his life to his cousin, $1M DB, $250 CSV

$100,000 Stock Portfolio to his sister

$50,000 RV to his son

Paid gift taxes of $55,000

Last year:

$50,000 cash to brother

Paid $10,000 in gift taxes

He died this year owning a $250,000 home ($100,000 basis) tenancy by the entirety, $50,000 stock portfolio, $500,000 in his 401K with his wife names as the beneficiary, a $50,000 car, and $25,000 in cash.

1. Calculate his gross estate.

2. What if he would have sold the life insurance policy to his cousin?