Mark Wellaby MD practices medicine During the year he received the following items in payment for his services cash of $48,000, farm produce worth $1000, common stock with a total par value of $500, and a $485 90 day noninterest bearing note dated December 1 The stock at the time of receipt had a f...

Calculation of Dr Wellabys gross i ...

Mark Wellaby MD practices medicine. During the year he received the following items in payment for his

Question:

Mark Wellaby MD practices medicine. During the year he received the following items in payment for his services: cash of $48,000, farm produce worth $1000, with a total of $500, and a $485 90-day noninterest bearing note dated December 1. The stock at the time of receipt had a fair market value of $1000. At December 31, the fair market value of the stock had dropped to $900. Calculate Dr. Wellaby's gross income.
Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...