Hazel, a Solvent Individual but a Recovering Alcoholic, Embezzled $6,000

question 60

Multiple Choice

Hazel, a solvent individual but a recovering alcoholic, embezzled $6,000 from her employer.In the same year that she embezzled the funds, her employer discovered the theft.Her employer did not fire her and told her she did not have to repay the $6,000 if she would attend Alcoholics Anonymous.Hazel met the conditions and her employer canceled the debt.

• A)Hazel did not realize any income because she obtained the funds illegally.
• B)Hazel is not required to include the $6,000 in gross income because her employer made a gift to her.
• C)Hazel must include $6,000 in gross income from discharge of indebtedness.
• D)Hazel may exclude the $6,000 from gross income because the debt never existed.
• E)None of the above.

Distinguish between different forms of environmental regulation.

Evaluate the evidence and opinions regarding global warming.

Explain the concept of "the invisible hand" in economic theory.

Understand the functioning of the circular flow diagram in an economy.

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Definitions:

Tort Of Nuisance

A legal wrong arising from the use of one's property in a manner that causes annoyance, inconvenience, or damage to others.

Special Damages

Monetary compensation awarded by a court to cover actual expenses and calculable pre-trial losses.

Punish Wrongdoers

The act of imposing a penalty on individuals or entities found to have violated laws or rules.

Contractual Promises

A commitment or guarantee included within a contract that one or both parties agree to carry out.