Molly (age 60) and Edgar (age 55) Pearson are married and live in Springfield, Missouri. They have no children together, but Molly has an adult daughter, Amy, from a previous marriage. Molly is a successful veterinarian and still active in her veterinary practice, Meow Woof, Inc. She and Edgar own the following assets.

ASSET	$ FMV on DOD	OWNERSHIP
House	4,933,000	Molly
Meow Woof, Inc.	12,672,000	Molly (value of Mollys 80% share)
Checking account	402,300	Molly & Edgar, JTWROS
Car 1	45,000	Edgar
Car 2	68,500	Molly
Whole life policy on Molly; $26,000 annual premium	238,000	Molly; Amy is beneficiary; $4,000,000 death benefit
IRA	822,500	Molly; Amy & Edgar co-beneficiaries

Based only on the following assumptions, if Molly dies on April 1, 2023, owning the assets as listed in the chart above, discuss whether, after Mollys death, her estate can use the 303 and/or 6166 elections and, if so, how each of these elections benefit the estate and/or the beneficiaries of the estate. (5 points)

Assume:

Molly's basis in Meow Woof is $2,400,000

Amy is the sole beneficiary of Mollys probate estate

Meow Woof has 3 shareholders

At Mollys death her estate owes $5,710,000 in estate taxes, her funeral expenses are $28,000 and her administrative expenses are $362,000

There is no buy-sell agreement for Meow Woof

The real estate used for Meow Woof is being used at its highest and best use

Edgar is still living