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Hannah is employed as an executive of Fringe Corporation. As part of her compensation package with Fringe Corporation, on January 1, 2020, Hannah received
Hannah is employed as an executive of Fringe Corporation. As part of her compensation package with Fringe Corporation, on January 1, 2020, Hannah received a loan from Fringe Corporation in the amount of $100,000. Similar loans in the marketplace would have carried an interest rate of 7%; however, Hannah is not required to pay any interest on the loan. Hannah's only obligation is to repay $100,000 to Fringe Corporation on January 1, 2023. Under these circumstances, the amount of gross income that Hannah must recognize in 2020 in connection with the interest-free loan is $
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