Mary incurred a $20,000 nonbusiness bad debt last year. she also had an $18,000 long-term capital gain last year. her taxable income for last year was $25,000. during the current year, she unexpectedly collected $12,000 on the debt. how should mary account for the collection?
a.$0 income
b.$11,000 income
c.$8,000 income
d.$12,000 income
e. none of these choices are correct.

The correct option is (D)

Explanation:

Non-business obligations are treated as capital losses only in short-run. Subsequently, the $20,000 bad-debt can counterbalance the $18,000 of long term capital additions. Furthermore, the tax break was $20,000 in the last years, and so the amount she received on the debt is 12000$. Therefore, 12000$ is the income which is unexpectedly collected is the total income of marrying.

answer; ///i believe the correct   answer is (e) transformational;

1   all nations face the problem of scarcity because there are limited resources and unlimited wants. nations do not have enough factors of production to produce everything that their population wants. entrepreneurial resources initiate businesses to make new goods and services; labor resources produce goods and services.

2 there are four factors of production: natural resources, labor resources, capital resources, and entrepreneurial resources. natural resources are raw materials from nature that are used to produce goods. trees, water, and grains are natural resources. some natural resources, such as wheat and cattle, are renewable

3 wants

things that you do not need to have in order to survive, but would like to have

needs

things that you must have in order to survive

goods

physical products

services

tasks that a business perform for customers

resources

items that people can use to make or obtain what they need or want

determine

to settle or decide by choice of alternatives or possiblities

4 i really dont know