Mary received the following items during 2021: Christmas bonus from her employer $600 Christmas gift from her father $100 Unemployment compensation $35
Mary received the following items during 2021: Christmas bonus from her employer $600 Christmas gift from her father $100 Unemployment compensation $35
Chapter4: Gross Income: Concepts And Inclusions
Section: Chapter Questions
Problem 60CP
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1. Mary received the following items during 2021:
What is the total amount of the above items that must be included in Mary's current year gross income?
| Christmas bonus from her employer | $600 |
| Christmas gift from her father | $100 |
| $35 |
What is the total amount of the above items that must be included in Mary's current year gross income?
a.$0
b.$600
c.$735
d.$100
e.$635
2. As a Christmas thank you for being a good employee, Ed's TV Repair gave 62-year-old Edwina three shares of its stock worth $20 per share. Edwina then received dividends of $1 per share related to the stock. How much should be included in Edwina's gross income?
a.$0
b.$3
c.$63
d.$60
e.None of these choices are correct.
3. Which of the following is nontaxable income to the recipient for tax purposes?
a.Income from tips
b.Municipal bond interest
c.Income from real estate rental property
d.Salary income
e.None of these choices are correct.
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ISBN:
9780357109731
Author:
Hoffman
Publisher:
CENGAGE LEARNING - CONSIGNMENT