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Asia, a successful executive, is negotiating a compensation plan with her potential employer. The employer has offered to pay Asia a $ 6 0 0

Asia, a successful executive, is negotiating a compensation plan with her potential employer. The employer has offered to pay Asia a $600,000 annual salary, payable at the rate of $50,000 per month. Asia counteroffers to receive a monthly salary of $40,000($480,000 annually) and a $180,000 bonus in five years when Asia will be age 65.
a. If the employer accepts Asia's counteroffer, Asia will recognize as gross income $55,000 per month [($480,000+ $180,000)/12].
b. If the employer accepts Asia's counteroffer, Asia will recognize $40,000 income each month for the year and $180,000 in year 5.
c. If the employer accepts Asia's counteroffer, Asia must recognize imputed interest income on the $180,000 to be received in five years.
d. If the employer accepts Asia's counteroffer, Asia will recognize $660,000 at the time the offer is accepted.

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