Linda Was Injured in an Automobile Accident Caused by Another

question 98

Multiple Choice

Linda was injured in an automobile accident caused by another driver.Her son,Matthew,was in the automobile but not physically injured.The other driver's insurance company was required by a court to pay Linda $75,000 to cover medical bills relating to her injuries,$30,000 to compensate her for emotional distress attributable to the injuries and $40,000 of punitive damages.Matthew was paid $15,000 to compensate him for emotional distress attributable to his witnessing his mother's injuries.What is the amount taxable to Linda?

• A)$30,000
• B)$40,000
• C)$105,000
• D)$145,000

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Definitions:

Unique Outcome

Moments or experiences in a person's life that defy their usual story or problem-saturated narratives, used in narrative therapy.

Native American

Indigenous peoples of the United States, including both American Indian tribes and Alaska Natives, with distinct cultures, histories, and identities.

Medicine Man

In many indigenous cultures, a medicine man is a traditional healer and spiritual leader known to use herbal remedies, rituals, and spiritual guidance to treat members of the community.

Drinking

The consumption of beverages, often referring specifically to the consumption of alcohol and its associated behaviors and consequences.