Question: Exercise 28-15 (b) (LO. 2) The Hatfield Trust is a simple trust. Norton is its sole beneficiary. In the current year, the trust earns $3,400

Exercise 28-15 (b) (LO. 2)

The Hatfield Trust is a simple trust. Norton is its sole beneficiary. In the current year, the trust earns $3,400 in nontaxable interest and $28,000 in dividend income. In addition, the trust recognizes a $10,000 casualty gain. The trustee assesses a fee of $5,000 for the year.

a. If the trust agreement allocates fees as well as casualty gains and losses to corpus, trust accounting income is $fill in the blank 1.

b. However, if the trust agreement allocates the fiduciary's fees to income, the trust accounting income is $fill in the blank 2.

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