Television Station Channel 2 Receives $200,000 from Harry's Auto Parts,Inc

question 97

Multiple Choice

Television station Channel 2 receives $200,000 from Harry's Auto Parts,Inc. ,to air Harry's commercials during a local automotive repair talk show in December 2017.December's ratings drop sharply when the show's star quits to work as a mechanic with a NASCAR team.Shortly thereafter,Harry contacts Channel 2 indicating that he wants to discontinue his sponsorship and requests return of $125,000 of the payment.The station continues to air the commercials and keeps the $200,000.Harry initiates a legal suit to recover the $125,000.Why is the $200,000 included in Channel 2's 2017 gross income?
I.All-inclusive Income Concept.
II.Capital Recovery Concept.
III.Wherewithal-To-Pay Concept.
IV.Claim of Right Doctrine.
V.Constructive Receipt Doctrine.
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• A)Only statement I is correct.
• B)Only statement IV is correct.
• C)Statements I,III,and IV are correct.
• D)Statements I,III,and V are correct.
• E)Statements II,III,and IV are correct.

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Definitions:

Physical Address

A unique identifier assigned to each network interface on a network. It's also known as a MAC (Media Access Control) address in the context of networking.

Network Adapter

A device that enables the computer (or peripheral) to communicate with the network using a common data communication language, or protocol.

Topology

in networking, describes the layout of connected devices and how they communicate.

Single Cable

Refers to a type of connection that enables data transmission, power delivery, and sometimes video output through one cable.