Multiple Choice Question Arnie was the beneficiary of his wife's life insurance policy. He...

80.2K

Verified Solution

Question

Accounting

Multiple Choice Question
Arnie was the beneficiary of his wife's life insurance policy. He received $100,000 in June from the
policy after his wife's death. He also sold some land that he had purchased a couple of years earlier.
He sold the land for $6,000. He only paid $3,500 for the land when he bought it. Arnie is self-
employed and earned a profit in his business of $55,000(ignoring the self-employment tax
deduction). What is the amount of Arnie's gross income for the current year?
$57,500
$161,000
$157,500
$61,000
image

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students