Chrisa had been an employee of David Hardware, a hardware product distributor, for 15 years. Chrisa sold the David hardware products directly to hardware stores. She was a salesperson and she was paid 100% by commission. Chrisa was personally responsible for all of her business expenses. Expenses, for example, for office supplies, stamps, telephone, parking, entertainment, promotion and samples, were supported by receipts and she deducted them.
During the years that Chrisa was employed by David, she sold products and developed the hard-ware market in her geographic area. One of the ways in which she developed the market was by "renting" floor space in various stores to display the David products. However, no receipts were received from the various stores, because in many ways the money was considered a "tip" by the managers of the hardware stores. Chrisa did not deduct these expenses. Through this process, Chrisa had significantly increased David's sales in her sales region and she had developed a loyal following in the hardware business.
At the time of Chrisa's departure from David, David paid $15,000 to Chrisa. The conditions of the agreement surrounding the $15,000 payment were as follows:
• David was "buying back" Chrisa's sales territory;
• Chrisa agreed not to enter a similar business to that of David's business, in David's distribution area, for a period of three years; and
• David and Chrisa agreed that the $15,000 would constitute a reimbursement of capital invested by Chrisa (i.e., the amounts she had paid to the stores for the rental of floor space for David products).

REQUIRED
Discuss the income tax implications for Chrisa of the receipt of the $15,000.