Karl Kremble funded an irrevocable trust in March 2013 with oil and gas property valued at $400,000. Assume the Sec. 7520 interest rate for the actuarial tables was 6% on the date of funding. Karl named a bank trustee and provided that his distant cousin, Louise Lane, will receive all the trust income annually for the next 50 years. Then the assets will revert (pass back) to Karl or his estate. The trust instrument specifically states that the trust is not to maintain a reserve for depletion (that is, no portion of the royalties received from the oil and gas properties is to be transferred to the trust's principal account to account for the wasting nature of the trust assets, and depletion will not reduce the trust's accounting income). Your manager has requested that you research whether the amount of Karl's gift to Louise may be determined by using the actuarial tables and that you write a memo summarizing your conclusions. Your manager indicated further that your memo should address the amount of the gift Karl is deemed to have made.