Steve Worked as a Tech Supervisor for a Computer Company

question 39

Multiple Choice

Steve worked as a tech supervisor for a computer company. In September of this year, he was laid off. He was paid unemployment compensation for the rest of the year totaling $7,000. Which of the following is true?

• A)Steve will have to report all $7,000 of the unemployment compensation as income.
• B)Steve will have to report $4,600 of the unemployment compensation as income.
• C)Unemployment compensation is never taxable.
• D)As long as the unemployment compensation payments are less than the taxpayer's previous salary, they are not taxable.
• E)None of these is true.

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Definitions:

Biological Causes

Factors of a biological nature, including genetic, neurological, or physical conditions, that lead to certain behaviors or diseases.

Nocturnal Penile Erections

Spontaneous erections of the penis during sleep or when waking up, also known as "morning wood."

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A condition involving involuntary contraction of the vaginal muscles, causing discomfort, pain, and difficulty with intercourse.