Business, 10.03.2020 16:42 william03300

Sharon had some insider information about a corporate takeover. She unintentionally informed a friend, who immediately bought the stock in the target corporation. The takeover occurred and the friend made a substantial profit from buying and selling the stock. The friend told Sharon about his stock dealings, and gave her a pearl necklace because she "made it all possible." The necklace was worth $10,000, but she already owned more jewelry than she desired.
a. The necklace is a nontaxable gift received by Sharon because the friend was not legally required to make the gift.
b. The value of the necklace is not included in Sharon's gross income unless she sells it.
c. The value of the necklace is not included in Sharon's gross income because passing the information was an illegal act and the SEC can confiscate the necklace.
d. The value of the necklace must be included in Sharon's gross income for the tax year it was received by her.
e. None of these.

Answers: 3

Show answers

Another question on Business

Business, 22.06.2019 04:00

Consider the market for gasoline. suppose that, in a competitive market without government regulations, the equilibrium price of gasoline is $3.00 per gallon, and employees at gas stations earn $17.50 per hour. complete the following table by indicating whether each of the statements is an example of a price ceiling or a price floor and whether it results in a shortage or a surplus or has no effect on the price and quantity that prevail in the market. statement price control effect the government has instituted a legal minimum price of $3.40 per gallon for gasoline. the government prohibits gas stations from selling gasoline for more than $3.40 per gallon. due to new regulations, gas stations that would like to pay better wages in order to hire more workers are prohibited from paying more than $14.50 per hour.

Answers: 2

Answer

Business, 22.06.2019 21:50

The third program provides families with $50 in food stamps each week, redeemable for both perishable and nonperishable food. the fourth policy instead provides a family with a box of nonperishable foods each week, worth $50. use two graphs to illustrate that a family may be indifferent between the two programs, but will never prefer the $50 box of nonperishable foods over the $50 in food stamps. state your answer and use a consumer choice model for perishable food and nonperishable food to graphically justify your choice.

Answers: 1

Answer

Business, 22.06.2019 23:00

Which of the following represents an unlimited queue? a. toll booth serving automobiles on the interstateb. drive through lane at a fast food restaurantc. faculty office with limited seating during office hoursd. restaurant with no outside seating and limited capacity due to fire departments restrictionse. small barbershop with only 5 chairs for waiting customers

Answers: 3

Answer

Business, 22.06.2019 23:30

Which external factor has enabled addition of special effects in advertisements and tracking of responses of customers over websites?

Answers: 3

Answer

You know the right answer?

Sharon had some insider information about a corporate takeover. She unintentionally informed a frien...

Questions