Jane is a roofing contractor. Janes friend needed a new roof but did not have...
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Jane is a roofing contractor. Janes friend needed a new roof but did not have the cash to pay. Janes friend instead paid with a used truck that Jane could use in her roofing business. The truck had originally cost the friend $17,500 but it was gently used and only worth $6,000. Jane did not actually need the truck and ended up selling it to a used car dealer for $5,200 a few months later
What amount of gross income Jane must recognize as a result of the truck payment.
Why? There ....................... exception in the law for noncash items received in exchange for services.
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