Estate of Etta H. Weinberg - Page 28

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             method similar to the method used by Dr. Kursh in computing              
             the rate of return of 10.45 percent used in his analysis.                
                  Finally, we do not agree with the marketability                     
             discount computed by either expert.  We disagree with the                
             discount computed by Dr. Kursh on the basis of the QMDM                  
             model because slight variations in the assumptions used in               
             the model produce dramatic differences in the results.  For              
             example, if the holding period for the investment were                   
             extended from 10 to 15 years, the period assumed by                      
             Dr. Kursh, to 15 to 20 years, and the required holding                   
             period return were increased to 20 percent from the return               
             assumed by Dr. Kursh of between 16 to 18 percent, the QMDM               
             table produces a 30-percent discount, twice the amount of                
             the discount produced using Dr. Kursh's assumptions.                     
             Because the assumptions are not based on hard data and a                 
             range of data may be reasonable, we did not find the QMDM                
             helpful in this case.                                                    
                  Similarly, we disagree with Mr. Siwicki's computation               
             of a marketability discount.  Mr. Siwicki arrived at an                  
             initial marketability discount, 30 percent, based upon                   
             his review of an SEC study of unregistered shares of                     
             nonreporting over-the-counter companies.  He increased the               

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