ZuoTi.Pro
Question

David has been diagnosed with cancer and is expected to live less than 18 months. David...

David has been diagnosed with cancer and is expected to live less than 18 months. David is covered by a life insurance policy with a​ $400,000 face amount. David cashes in the policy early under a special option and receives​ 80% of the face amount or​ $320,000. In the year of​collection, David will report

A.​$80,000.

B.no income.

C.​$400,000.

D.​$320,000.

business   accounting   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

Answer B no income

David will report no income due to David is a cancer patient and his income is fully exempted

0 0
Add a comment
Know the answer?
Add Answer to:
David has been diagnosed with cancer and is expected to live less than 18 months. David...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • Please select the correct answer and state why it is the correct answer. 1 Alex Co....

    Please select the correct answer and state why it is the correct answer. 1 Alex Co. has the following items listed in the asset section of its balance sheet. Which should be classified as a current asset? A) Investment in held-to-maturity securities. B) Prepaid insurance on a 3-year policy expiring within the year. C) Cash surrender value of life insurance policies. D) Cash to be used for sinking fund payments to retire long-term debt 2 Grown Company is a leading...

  • We are going to assume the class is a group of policy makers at a large...

    We are going to assume the class is a group of policy makers at a large insurance company – ABC HMO. Part of our pay is based on the company's financial performance for the current year. Specifically, the company looks at actual vs. projected medical expenses per member. The expected is based on last year's actual adjusted for inflation. One of our planners read the below article in the NY Times and recommends we reduce our coverage of routine breast...

  • Gleim 6 Deductions from AGI [1] Which one of the following expenses does not qualify as...

    Gleim 6 Deductions from AGI [1] Which one of the following expenses does not qualify as a deductible medical expense? A. Cost of long-term care for a developmentally disabled person in a relative’s home. B. Special school for a deaf child to learn lip reading. C. Cost of elevator installed for individual who had heart bypass surgery (in excess of increase in value of individual’s home). D. Cost and care of guide dogs used by a blind person in his...

  • Comprehensive Income Tax Course: Module 1 4. Randy turned 16 last year and had his first...

    Comprehensive Income Tax Course: Module 1 4. Randy turned 16 last year and had his first summer job. Even though his parents are claiming him as a dependent he wants to file a return in order to get his refund. He receives his W-2 and decides he can do his own return using form 1040-EZ. Which of the following information is not found on a Form W-2? a) The taxpayer’s Social Security number b) The taxpayer’s wages, tips and other...

  • FISCAL POLICY IN THEORY: March, 2020: we are on the verge of Congress and the President...

    FISCAL POLICY IN THEORY: March, 2020: we are on the verge of Congress and the President passing legislation that will empower the federal government to spend an unprecedented amount of EXTRA money not seen since World War 2 ---- in order to address the pandemic but also to help cushion the blow financially of perhaps ten or twenty million Americans --- or more --- losing their jobs, and thus suffering a drop in income. The scale of the 2020 recession...

  • Is anyone help me this question? CASE 2-5 Coping with Corruption in Trading with Vietnam Corruption...

    Is anyone help me this question? CASE 2-5 Coping with Corruption in Trading with Vietnam Corruption is a fact of lifie in China. In fact Transparency Interna-fo travel to cash or gifts. (This was especially true when few tional, a German organization that applies its Corruption PerceptionPRC officials had been abroad.) As a result, traders report that Index (CP) globally. rates China with a CPl of 3.6 and is number dangling foreign trips in fromt of their PRC clients has...

  • The world’s 3 billion-plus smartphones emit the kind of data that health authorities covet during outbreaks....

    The world’s 3 billion-plus smartphones emit the kind of data that health authorities covet during outbreaks. They show where individuals are, where they’ve been and who they might have talked to or even touched — potentially offering maps to find infected people and clues to stopping new ones. But gaining access to this data, even amid a global pandemic, is made complex by the legal and ethical issues surrounding government access to information that can reveal intimate details about citizens’...

  • How can we assess whether a project is a success or a failure? This case presents...

    How can we assess whether a project is a success or a failure? This case presents two phases of a large business transformation project involving the implementation of an ERP system with the aim of creating an integrated company. The case illustrates some of the challenges associated with integration. It also presents the obstacles facing companies that undertake projects involving large information technology projects. Bombardier and Its Environment Joseph-Armand Bombardier was 15 years old when he built his first snowmobile...

  • CASE 1-5 Financial Statement Ratio Computation Refer to Campbell Soup Company's financial Campbell Soup statements in...

    CASE 1-5 Financial Statement Ratio Computation Refer to Campbell Soup Company's financial Campbell Soup statements in Appendix A. Required: Compute the following ratios for Year 11. Liquidity ratios: Asset utilization ratios:* a. Current ratio n. Cash turnover b. Acid-test ratio 0. Accounts receivable turnover c. Days to sell inventory p. Inventory turnover d. Collection period 4. Working capital turnover Capital structure and solvency ratios: 1. Fixed assets turnover e. Total debt to total equity s. Total assets turnover f. Long-term...

  • 10. Write a one-page summary of the attached paper? INTRODUCTION Many problems can develop in activated...

    10. Write a one-page summary of the attached paper? INTRODUCTION Many problems can develop in activated sludge operation that adversely affect effluent quality with origins in the engineering, hydraulic and microbiological components of the process. The real "heart" of the activated sludge system is the development and maintenance of a mixed microbial culture (activated sludge) that treats wastewater and which can be managed. One definition of a wastewater treatment plant operator is a "bug farmer", one who controls the aeration...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT