Problem 19-29 (Algorithmic) (LO. 3) At her death, Chow owned 55% of the stock in Finch Corporation, with the balance held by family members. In the past five years, Finch has earned average net profits of $1,740,000, and on the date of Chow's death, the book value of its stock is $4,350,000. An appropriate rate of return for the type of business Finch is in is 5.1%. If required, round your intermediate computations to the nearest dollar. a. If goodwill exists, the total value of Finch stock is $ 11,940,750 V What value would the IRS argue that the stock Chow owned should be included in her estate? 1,518,150 x S Feedback b. Considering the facts given, identify some factors that could be present to reduce the value of such goodwill by selecting "Yes" for ones that can impact a goodwill valuation and "No" for ones that won't. 1. Extraordinary gains. Yes 2. Lower than industry average salaries. Yes 3 . Chow was the key person in the success of the business. Yes 4. The appropriate rate of return for this type of business is low. NO