Please answer with reason for all why the option is correct and why the other options are incorrect A well-known soccer player was paid a lump sum of $400,000 to encourage her to join a sport TV talk show. He accepted the offer and received an annual salary of $100k in addition to the lump sum payment. Which of the following statements is true: i)The lump sum payment of $400,000 is assessable income. ii)The lump sum payment and annual salary are assessable income. iii).The annual salary is assessable income and the lump sum payment is not assessable income. a(iii)is correct b(ii) is correct c(i)iscorrect d(i) and (ii) are correct
Please answer with reason for all why the option is correct and why the other options are incorrect A well-known soccer player was paid a lump sum of $400,000 to encourage her to join a sport TV talk show. He accepted the offer and received an annual salary of $100k in addition to the lump sum payment. Which of the following statements is true: i)The lump sum payment of $400,000 is assessable income. ii)The lump sum payment and annual salary are assessable income. iii).The annual salary is assessable income and the lump sum payment is not assessable income. a(iii)is correct b(ii) is correct c(i)iscorrect d(i) and (ii) are correct
Chapter2: Income Tax Concepts
Section: Chapter Questions
Problem 45P
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Please answer with reason for all why the option is correct and why the other options are incorrect
A well-known soccer player was paid a lump sum of $400,000 to encourage her to join a sport TV talk show. He accepted the offer and received an annual salary of $100k in addition to the lump sum payment. Which of the following statements is true:
i)The lump sum payment of $400,000 is assessable income.
ii)The lump sum payment and annual salary are assessable income.
iii).The annual salary is assessable income and the lump sum payment is not assessable income.
a(iii)is correct
b(ii) is correct
c(i)iscorrect
d(i) and (ii) are correct
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