Stacy is employed by a large corporation with 500 employees. The corporation has an exercise facility within its office for the exclusive use of the employees. A health club membership at a similar public facility would cost Stacy $1,200 per year. How much must Stacy include in her adjusted gross income?

$0

$500

$600

$1,200

Will sustained a serious injury in the course of his employment. As a result of this injury, he received the following payments:

Workers Compensation $2,500

Reimbursement from his employers accident and health plan for medical expenses paid by Will and not deducted by him $4,000

Compensatory damages for physical injuries $1,000

Punitive damages for physical injuries $6,000

The amount to be included in Wills gross income should be:

$2,500

$4,000

$6,000

$13,000