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Smith sued an overzealous bill collector and received the following settlement: Damage to his car that the collector attempted to repossess: $ 4 , 4

Smith sued an overzealous bill collector and received the following settlement:
Damage to his car that the collector attempted to repossess: $4,400
Physical damage to his leg caused by the collector: $20,000
Loss of income while his leg was healing: $8,000
Punitive damages: $75,000
a. What effect does the settlement have on Smiths gross income?
b. Assume that Smith also collected $15,000 of damages for slander to his personal reputation caused by the bill collector misrepresenting the facts to Smiths employer and other creditors. Is this $15,000 included in Smiths gross income? Explain.

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