Question

During Year 9, Ash had the following cash receipts. Wages $13,000 Interest income from U.S. Treasury bonds $350 Workers' compensation following a job-related injury $8,500 What is the total amount that must be included in gross income on Ash's Year 9 income tax return?

Answer 1

Answer:

The total amount that must be included in gross income on Ash's Year 9 income tax return is $13,350

Explanation:

Wages=$13,000

Interest income from U.S. Treasury bonds=350

Workers' compensation following a job-related injury=8,500

According to the exercise, is necessary to add all the incomes of the activity. The worker's compensation is not an income, so we obtain:

Wages + interest = 13.000 + 350 = 13.350