1. Differentiate between ordinary and statutory income with examples.

(5 marks)

2. During the current tax year David received the following amounts:
   1. Salary and wages income of $198,000.
   2. $3,200 interest from a bank term deposit of $50,000.
   3. $500 per week for 30 weeks of the year from a rental property he owns.
   4. Winning of $20,000 on the poker machines.
   5. A watch worth $300 as a gift from a happy client.

Which incomes (i to v) of David is ordinary income for the current tax year? Identify and explain.