Please be sure your answers are right, thank you

4. Which of the listed items would not normally be included in an individual's gross income 1. A radio quiz show vacation prize (value $1,500) 2. A $100 gift card received as an employee safety award 3. A new watch (value $100) received by an employee upon attainment of twenty-five years with his/her employer A. Item 1 only B. Item 2 only C. Item 3 only D. Item 1, Item 2, and Item 3 all would be included in gross income E. Item 1, Item 2, and Item 3 all would be excluded from gross income 5. In return for a $5,000 payment, a creditor cancels Dan Davis' debt of $8,000. The cancellation is not a gift and Dan Davis is neither insolvent nor bankrupt. Which of the following statements is correct? A The creditor has $8,000 taxable income. B Dan Davis has $3,000 of taxable income. C Dan Davis has $5,000 of taxable income. D Neither the creditor, nor Dan Davis has any taxable income from this transaction. E None of the above (all of the statements are false)