Question

Question 2

John Doe, a resident of south Africa, passed away after suffering fatal heart attack at age 68, John was married to Jane Doe, Their marriage was registered under an ante-nuptial contract, subject to the accrual system.

The following information relates to the assets and liabilities in john’s estate:

 

1.       A house, valued at R6 000 000, situated in Cape Town. This is where John resided with his wife Jane. The house originally purchased for R3 500 000.In terms of his last will and testament, this house was left to Jane.

2.       A holiday apartment situated in Durban, Valued at R2 500 000 at the date of John’s death. The apartment was originally purchased for R 1 800 000. John left the apartment to his daughter , Jessica.

3.       A BMW X5, valued at R 950 000, was left to his son, Joshua.

4.       A collection of antique furniture, valued at R 1 300 000 was left to john’s sister, Kerry.

5.       John’s investment, cash on hand and bank balances at the date of his death amounted to R 5 150 000, of which half was left to Jane.

6.       The following amounts were still awing to south African banks in respect of the assets owned by John at the date of his death:

a.       Holiday apartment in Durban – R250 000

b.      BMW X5 – R65 000

7. Funeral and tombstone expenses amounted to R95 000.

8.Jan’s accrual calm against the estate was R 1 250 000.

 Required: Compute the estate duly payable by John Doe’s estate. (15 MARKS)