Acme Published a Story About Paul, and as a Result

question 80

Multiple Choice

Acme published a story about Paul, and as a result Paul sued Acme for damage to his reputation, emotional distress, and punitive damages. Paul won an award of $20,000 for damages, $5,500 for emotional distress, and $50,000 for punitive damages. What amount must Paul include in his gross income?

• A)$5,500
• B)$20,000
• C)$50,000
• D)$70,000
• E)All of these benefits are included in gross income.

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Definitions:

Talus Slopes

Accumulations of broken rock fragments at the base of cliffs, steep slopes, or valley shoulders.

Slopes Fail

Instances where a slope collapses or slides due to gravitational pull and other factors like water saturation or seismic activity.

Rock Slide

A slab of relatively intact rock that detaches from bedrock and slides downhill, shattering as it moves.

Rotational Slide

A slide in which shearing takes place on a well-defined, curved shear surface, concave upward, producing a backward rotation in the displaced mass; synonymous with slump.