estate allocation for 1041 and other help needed

[JudyL]

I hope someone here can help me with this as I am struggling with these concepts. After sorting out the executor's mess and disorganization to get the flow of assets and income, I'm now stuck and it's been way too long time since I've worked on anything like this I am not getting this to where it needs to go on the 1041.

I've boiled the facts down to this:

Estate started with $398,600 in gross assets
Payments for funeral $10K, medical and other debts of decedent $4000.
Income from interest, dividends & one month's pension = $3,400. Cap gains from stock sales= $6400.
Attorney, probate & closing cost, and other admin expenses $5900.
Distributed out: cash of $150K, stock in-kind $47K, house of $180K, other personal assets $2K. Total of all $379K.
Will says income distrib'd quarterly, and the rest is totally at discretion of executor

Estate was closed with the county but still has ~ $9000 of cash remaining to distribute, so this isn't the final return.

My main questions:

Are the payments out for funeral and other expenses that aren't deductible on the 1041 - are those are netted out to reduce corpus? I know they aren't reported anywhere on the return.

When allocating the expenses between income and corpus, is that 50-50, or is it prorata? Line 17 of 1041 is $4100 before the distrib deduction and exemption. Is the DNI $450 (3400-1/2 of 5900) or is it $1353 (3400-(5900*3400/9800)) ?

I'm not sure about Sch B, line 10 either. I've seen arguments among other practitioners about what to include in "amounts paid, credited, otherwise distributed". Do I show the entire distributions out of $379K that obviously includes corpus or ?

[Burke]

Last question first. Line 10 shows the entire amount distributed of $379K since executor had discretion to do so. Also, software normally allocates cap gains to the estate, but in recent years the allowed practice is to allocate to the beneficiaries on Sche D, page 2. Funeral and debts are not deducted on 1041. Medical can be deducted on decedent's final 1040 even if paid by the estate. Not sure why you are trying to do all this allocation between income and corpus, will have to actually fill out 1041 to see what figures you are coming up with.