Net Residue of Personalty, £24,000.
Real Property:
Freehold Estate 4 miles outside Canterbury, Kent, £5,000.
Delightful situation, 4 Reception Rooms, 8 Bed and Dressing
Rooms, 2 Bathrooms, Modern Kitchen apartments, including
Servants' Hall, usual Offices, Good Stabling and 4 Acres of
Garden. Caretaker within.
Freehold Estate, 1 mile outside Guildford, Surrey, £8,000.
Freehold Estate in the City of Nottingham, £10,000.
* * * * *
Show how the Estate of Sir John Hopper will be divided.
PROBLEM No. 27.
Colonel Filbert, stepson to the late Sir Hazel Knut, paid a brief visit
to the Brazils, and died on the voyage home on the 1st January, 1914.
He left a considerable Estate, and bequeathed many useful Legacies, all
free of Duty, to deserving Relations and Friends. One of the provisions
in his Will was to the effect that a sum of £5,300 should be placed on
Deposit at the Bank to be paid over by instalments at regular intervals
to his two Executors, John Bunting and Nathaniel Whittel, and was to be
regarded by them as a Salary for their services.
Each was to receive a Starting Salary at the rate of £500 per annum,
but whereas John Bunting's Salary was to be increased by £100 per annum,
Nathaniel Whittel's Salary was to be increased by £25 half-yearly.
As soon as the £5,300 was exhausted the Salaries were to cease, and in the
meanwhile the Interest on the Deposit was to be paid over to the General
Estate.
The Salaries were to be drawn half-yearly, the first to be payable exactly
six months from the date of Colonel Filbert's death.
* * * * *
Write up a Cash Account, showing how the Legacy of £5,300 was divided
between the Executors.
[Illustration: "Miss Tulip's heart was forthwith pierced."]
PROBLEM No. 28.
Every Sportsman will admit that it is immoral to bet upon a certainty,
and most business men will endorse the maxim that only fools speculate
without inside information.
Now Mr. Hunter never gambled, but he was open, like most other men, to
a sound speculation, and when he learned in his capacity of Clerk to
a well-known Solicitor that Miss Rose Tulip had inherited a fortune of
£60,000 odd, he naturally felt interested.
Many obstacles separated Mr. Hunter from the object of his choice, but he
persevered, and on one particularly sunny afternoon he let loose a chance
arrow with such well-directed aim that Miss Tulip's heart was forthwith
pierced.
The Engagement caused some little flutter in the Dove Cot, and Lady Tulip,
Miss Rose's widowed Mother, at once changed her Solicitors in spite of a
promise on their part to decorate Mr. Hunter with the "Order of the Boot,"
a promise which was promptly converted into an accomplished fact.
Every effort was made to induce Miss Rose to reconsider her decision, but
this only seemed to lead to further complications, for on the 14th July
Mr. George Tulip announced his engagement to Mr. Hunter's only sister,
Rebecca.
This was the last straw and the lamentations of the proud Tulip Family
were only exceeded by the rejoicings of the Family Hunter.
The prospective Bridegrooms met and made all the necessary arrangements,
and Mr. Hunter, who had had a legal training, drew up four simple Wills
whereby each left to the Widow, or Widower, all the worldly goods of which
he, or she, was possessed.
These documents were signed and witnessed, and four days later the double
wedding was solemnized quietly at the Church of Saint Augustine.
After the ceremony Mr. and Mrs. Hunter and Mr. and Mrs. Tulip journeyed
to Liverpool Street Station and caught the 2 o'clock train to Clacton,
where the honeymoon was to be spent.
They arrived comfortably in time for tea, and Mr. Hunter insisted on
treating the whole party to Winkles.
Now, whether it was the Winkles or whether it was the pins, is a matter
upon which the two London Specialists who were called in failed to agree,
but the fact remains that within a very short time of devouring the
aforementioned delicacies, the whole party became alarmingly ill, and two
days later Mr. Tulip and Mrs. Hunter died.
Mr. Tulip's Estate, which consisted entirely of Personalty, was valued for
Probate at £8,420, and Mrs. Hunter's Estate, which consisted entirely of
Realty, was valued at £72,422.
* * * * *
What Legacy and Succession Duty was payable on behalf of Mrs. Tulip, and
by Mr. Hunter?
PROBLEM No. 29.
The Rev. Stephen Collins delivered a very moving address on Total
Abstinence at the Mothers' Meeting on the 14th June, 1913, and three weeks
later Mr. Gunter died.
Now some of the parishioners were inclined to connect the two events,
particularly as Mrs. Gunter happened to form one of the band of Mothers
on that memorable occasion, and was known to have given her husband Toast
and Water for Supper on the following evening.
Be that as it may, it is an undoubted fact that Mr. Gunter, in a codicil
to his Will, nominated the Rev. Stephen Collins in place of Mrs. Gunter
as Life Tenant of the Income arising from the property of which he (Mr.
Gunter) died possessed.
After the payment of all Duties, Debts and Expenses, this property
consisted of Assets producing Income as follows:--
(1) £300 per annum, free of tax, payable quarterly on the usual
quarter days.
(2) £160 per annum, free of tax, payable half-yearly, on the 30th
June and 31st December.
(3) £140 per annum, free of tax, payable yearly, on the 29th
September.
The Income was received regularly on the due dates and the Reverend
Gentleman had given a formal receipt for everything due up to and
including the 31st December, 1913.
On the 30th April, 1914, Stock No. 1 was sold cum. div. at a profit of
£500, and the proceeds were re-invested in a security, the income from
which was £320 per annum, free of tax, payable half-yearly on the 30th
June and 31st December.
On the 20th June, 1914, Stock No. 2 was sold ex. div. at a loss of £100,
and the proceeds were re-invested in a Stock ex. div. bringing in £140
per annum, free of tax, payable quarterly on the usual quarter days.
The Rev. Stephen Collins recognises that the Trustees are honourable men
and that their intentions are worthy, but nevertheless he is anxious and
wishes to be in a position to reassure Mrs. Collins as to the income which
he will receive for the year ending 31st December, 1914.
It is interesting to note that Mr. Collins has now published the Address
delivered at the Mothers' Meeting on the 14th June, 1913, trusting that
the seed sown broadcast may find its way into fruitful soil.
PROBLEM No. 30.
A prosperous Solicitor usually occupies very dirty offices, and his
furniture is mostly Mid-Victorian and rickety.
Mr. John Storalore was no exception to this rule and never seemed to
object to such surroundings, but on the contrary always appeared to be
surrounded by such objects.
He was sitting in his office one June afternoon and was dozing over
some particularly dusty documents when his clerk announced Sir Pufferby
Pawstone. Now Sir Pufferby was an important client who always had his hair
cut and called on his Solicitor when he found himself with nothing better
to do. It is not surprising, therefore, that Mr. Storalore should receive
him with open arms and assume a very profound expression.
After the usual courtesies had been exchanged, and Lady Pawstone's health
touched upon, Sir Pufferby announced that he desired to make a Will.
Mr. Storalore was all attention and took elaborate notes of Sir Pufferby's
testamentary wishes, which were extensive and complicated. This done,
Sir Pufferby begged Mr. Storalore to give him a brief and concise account
of the steps which it is necessary for Executors and Trustees to take in
the administration of the affairs of a deceased person from the moment of
death up to the final distribution of the Residue.
* * * * *
Do not worry about what Mr. Storalore actually said to Sir Pufferby, for
Sir Pufferby was an old woman, and Mr. Storalore knew his client, but say
what he would have said to you in answer to such a question.
PROBLEM No. 31.
Mr. George Huggins died on the 31st October, 1913, and with the exception
of a few legacies, bequeathed free of duty, he left the whole of his
property to his Widow for life with remainder over to his friend Mr.
Giblets, provided that gentleman outlived Mrs. Huggins.
Now this arrangement placed Mr. Giblets in an embarrassing predicament,
especially as Mrs. Huggins' health improved so wonderfully after her
husband's death.
It appeared to Mr. Giblets, therefore, that matrimony was the only safe
solution of the difficulty, and so he went on his knees before the Widow.
But the lady grasped the situation immediately, and declined the honour.
Friendship being thus early at an end Mr. Giblets resolved to worry the
Widow, bearing in mind the saying that "Worry kills." So he set himself to
quibble about every detail in the administration of the late Mr. Huggins'
Estate, particularly as regards the apportionment of Revenue between
Capital and Income. But the Widow would not worry, and wisely suggested
to the Solicitors that all matters involving accounts should be left to
some first-class Firm of Professional Accountants to settle.
This was done, and the following are the Cash Receipts and Payments made
by the Trustees up to the 30th June, 1914.
* * * * *
What amount was paid to Mrs. Huggins on the 30th June, 1914?
_Receipts._
1913. £ s. d.
Oct. 3 Cash at Bank and in house 532 17 4
Nov. 5 Yorkshire Coal Co., dividends half-year ending
30th September, 1913, free of tax
1914.
Jan. 5 Dividends on India Stock, less tax 47 1 8
" " 14 Sale of Investments 1,764 8 9
Feb. 8 Caledonian Railway Dividends, half-year ending 32 19 2
31st December, 1913
March 3 Sale of Furniture 243 6 8
" " 25 Quarter's Rent of Property to date, less tax at 16 1 10
1s. 2d.
" " 31 North British Investment Trust Dividends, 6 70 0 0
months to date, free of Tax
" 31 West Ham Gas Co., half-year's Debenture 47 1 8
Interest, less tax
Apr. 5 Dividends on India Stock, less tax 47 1 8
June 15 Sale of Jewellery 32 5 0
" " 25 Quarter's Rent of Property 20 0 0
_Payments._
1913.
Nov. 7 Medical Attendance and Nursing fees 31 10 0
" " 25 Mrs. Huggins, on account 50 0 0
Dec. 31 Estate Duty 532 6 8
" " 31 Interest thereon 2 13 3
1914.
Jan. 16 Valuation fees 15 15 0
Feb. 1 Widow, further on account 50 0 0
" " 16 Funeral Expenses 31 10 0
March 25 Half-year's Ground Rent, due this day, less tax 4 18 11
" " 31 Debts due at death 73 6 8
Apr. 1 Widow, further on account 50 0 0
" " 30 Legacies 250 0 0
May 3 Duty thereon 20 0 0
" " 31 Executorship Expenses 5 6 8
June 1 Solicitor's Costs re Probate 32 6 8
" " 15 Mason's Expenses, restoring, &c, Tombstone 15 15 0
" " 30 Paid Widow Balance due to her.
PROBLEM No. 32.
Mr. Nathaniel Soworthy, a great breeder of prize pigs, had the misfortune
to be knocked down one day by his favourite Berkshire Boar, and his head
was cut open on the corner of the pig-sty. Notwithstanding the fact that
Mr. Soworthy prided himself exceedingly on the extreme cleanliness of his
pig-sties, where, as he was often heard to say, he would be quite ready to
eat his own dinner, he discovered on that lamentable occasion what must
have been the sole surviving microbe on the premises which, entering his
circulation, set up blood poisoning with the result that he passed away a
few days later, viz., at 6 p.m. on the evening of the 31st January, 1914.
Mr. Soworthy was a man of many hobbies, and in addition to his prize pigs
he possessed a unique collection of silver salt-cellars reputed to be one
of the finest in the country. This was valued for Probate at £5,000, while
the pigs were estimated to be worth £2,500.