Multiple Choice Question

Arnie was the beneficiary of his wife's life insurance policy. He received $$100,000$ in June from the

policy after his wife's death. He also sold some land that he had purchased a couple of years earlier.

He sold the land for $$6,000.$ He only paid $$3,500$ for the land when he bought it$.$ Arnie is self$-$

employed and earned a profit in his business of $$55,000($ignoring the self$-$employment tax

deduction$).$ What is the amount of Arnie's gross income for the current year?

$$57,500$

$$161,000$

$$157,500$

$$61,000$