Question

Joanna received $69,300 compensation from her employer, the value of her stock in ABC company appreciated by $13,900 during the year (but she did not sell any of the stock), and she received $31,800 of life insurance proceeds from the death of her husband. What is the amount of Joanna's gross income from these items

Answer 1

Answer:

$69,300

Explanation:

According to the scenario, given data are as follows:

Compensation received = $69,300

Stock value appreciated (Not sell)= $13,900

Insurance amount = $31,800

So, we can calculate the Joanna's gross income by using following formula:

Joanna's Gross income = $69,300 + 0 + 0 = $69,300

Stock value is not included because it is not sold.

Insurance amount is not considered in gross income.

Hence, Joanna's gross income is $69,300.