Larry, the plumber is unemployed and has no money. Jose, the roofer is unemployed and has no money. Jose says, "I'll fix the shingles that are falling off your roof, a $600 job, for free if you will fix my plumbing, a $500 job for free." They agree to do this.

a. Larry has taxable income of $600 and Jose has taxable income of $500.

b. This is not a taxable event

c. Larry and Jose each have $500 in taxable income.

d. Larry has $500 in taxable income while Jose has $600.