Question

Sandy received $50,000 is salary, $1,200 in interest income, a car valued at $23,000 from her parents, and $75,000 from her grandmother's estate. How much is included in gross income?

Answer 1

Sandy's gross income is $126,200.

Step-by-step explanation:

Given:

Salary: $50,000

Interest income: $1,200

Gifts are Car from parents: Not included in gross income and the Inheritance from grandmother's estate: $75,000

Gross income:

$50,000 + $1,200 + $75,000

= $126,200

Sandy's gross income includes her salary, interest income, and inheritance from her grandmother's estate and the car from her parents is not included in gross income because it is a gift.

Therefore,

$126,200 is Sandy's gross income.