Estate of James J. Renier, Deceased, Kent L. Renier and Dubuque Bank & Trust Company, Co-Executors - Page 14

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          Renier had pretax net income of $879,597 during the base period             
          and after-tax net income of $579,367.  The experts had                      
          differences in their normalizing adjustments as follows.                    
                           a. Reasonable Compensation for Related-Party               
               There is a large difference in the experts’ approaches in              
          accounting for excess compensation paid to related-party                    
          employees.  During the base period, Renier employed decedent and            
          several members of his family, including Kent and Maria on the              
          valuation date.  Both Mr. Sliwoski and Mr. Kramer concluded that            
          related-party employees were overcompensated, necessitating a               
          normalizing adjustment to reported net income to approximate                
          income if only arm’s-length amounts had been paid for the                   
          services rendered.  The experts dispute, however, the amount of             
               To compute a reasonable compensation amount for the services           
          provided by related parties, Mr. Sliwoski assumed that during the           
          base period Renier required the services of only two family                 
          members, one providing management and sales services and the                
          other serving as bookkeeper and office manager.  Kent and Maria,            
          respectively, were providing these services on the valuation                
          date.  Using data from a 1991 Dubuque area wage survey, Mr.                 
          Sliwoski concluded that for Renier’s fiscal year ended June 30,             
          1991, the retail manager/salesperson would earn approximately               
          $19.23 per hour and work 2,080 hours per year (40 hours per                 

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