5. Joey was recently scouted by a modelling agency and has had photo shoots for a...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
5. Joey was recently scouted by a modelling agency and has had photo shoots for a fashion label through them. However, he does not have any other modelling jobs lined up. Even though he is not currently working, the modelling agency values Joey's talent and pay him $1000 a month to only take modelling jobs from their agency. In the meantime, Joey is also expected to maintain a healthy diet, a regular exercise routine and avoid any activities that could negatively impact his appearance. Are the monthly payments that Joey is receiving ordinary income? C Group of answer choices No, they are not ordinary income as the income is expected but not sufficiently to his job as a model and are capital receipts. No, the payments are for a restrictive covenant, however if Joey receives modelling jobs from the agency, they will then be ordinary income. Yes, they are ordinary income as the payments are regular, expected and income from personal exertion related to his employment as a model. C No, the payments are for a restrictive covenant and are therefore capital in nature. 5. Joey was recently scouted by a modelling agency and has had photo shoots for a fashion label through them. However, he does not have any other modelling jobs lined up. Even though he is not currently working, the modelling agency values Joey's talent and pay him $1000 a month to only take modelling jobs from their agency. In the meantime, Joey is also expected to maintain a healthy diet, a regular exercise routine and avoid any activities that could negatively impact his appearance. Are the monthly payments that Joey is receiving ordinary income? C Group of answer choices No, they are not ordinary income as the income is expected but not sufficiently to his job as a model and are capital receipts. No, the payments are for a restrictive covenant, however if Joey receives modelling jobs from the agency, they will then be ordinary income. Yes, they are ordinary income as the payments are regular, expected and income from personal exertion related to his employment as a model. C No, the payments are for a restrictive covenant and are therefore capital in nature.
Expert Answer:
Answer rating: 100% (QA)
tin wuld be the rret beuse the inme reeived by Jey is n mnthly bsis nd the is txb... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
A Field Check ____. Group of answer choices Makes sure that everything thats required to be filled out is Is looking for the size of the field Makes sure that what youve entered is reasonable Is only...
-
The Nash equilibrium is Group of answer choices Where one player maximizes his payoff and the other doesnt When each players strategy is the best response to the other players strategy Where the...
-
Which of the following bodies does not have any power to punish individual members for violations of the rules of professional conduct? a. CPA Canada b. Canada Revenue Agency c. OSC d. CPA Ontario
-
There are three mutually exclusive projects, where the basic information is provided below. Assume a DN alternative does not exist. Initial Cost Annual net profit Useful Life Salvage value A $25,000...
-
For the four basic configurations that follow, assume that the market is demanding product that must be processed by both Resource X and Resource Y for Cases I, II, and III. For Case IV, both...
-
What port is used by HTTP?
-
Top managers of Bernard Associates are reviewing company perfor- mance for 2009. The income statement reports a 15% increase in net income, which is outstanding. The balance sheet shows modest...
-
Take the role of an investment analyst at Merrimack Lowell. It is your job to recommend investments for your client. The only information you have is the following ratio values for two companies in...
-
XYZ Corporation has a 10-year zero-coupon convertible bond which is convertible to the common stock of XYZ. The stock is trading at $50, and the conversion option allows each $1000 face-value bond to...
-
A passive long only Equity portfolio Manager with asset under management (AUM) of $ 1.5 Billion has the following investments: Index Dow Jones S&P 500 FTSE 250 TSX 100 DAX performance CAC 40 SENSEX...
-
Andre is preparing for his first sale and has all of the documents in order so he can explain features, benefits, and drawbacks of the selected policies. To help his client better understand...
-
Jennifer has $100,000 in personal taxable income. Her filing status is married filing jointly. Based on the marginal tax rates from Module 1 handout, how much tax does Jennifer owe to the government?
-
Delta Corporation manufactures two products, Flow and Glow. They use a standard cost system based on direct labor hours. Assume that the quantity of units purchased for materials is equal to the...
-
Milo Manufacturing produces products Kappa and Lambda from a joint process. Total joint costs are $160,000. The sales value at split- off was $169,200 for 5,200 units of Kappa and $63,280 for 7,800...
-
Locate a *scholarly article regarding Police Liability (or a closely related topic on police officers / policing) . A *scholarly article will come from a published Journal, and it contains original...
-
Evaluate the line integral on the corresponding trajectory. If possible, apply the Cauchy- Goursat theorem or some of its consequences z-5z+i dz; C:|z|= 3 z-1+2i C counter clockwise
-
Why is it important for businesses to utilize their warehouse space effectively?
-
Air pollution generated by a steel mill is an example of a) a positive production externality. b) a negative production externality. c) a public good. d) the free-rider problem. State and local taxes...
-
Describe a digest within the context of a digital signature.
-
What are the three general problems associated with data redundancy?
-
How do HTTP and HTTP-NG differ?
-
What is whirling?
-
What is the difference between stationary damping and rotary damping?
-
Fill in the Blank. The vertical component of the inertia force of a reciprocating engine has primary and ____________ parts.
Study smarter with the SolutionInn App