Peggy is an executive for the Tan Furniture Manufacturing Company.She purchased furniture from the company for $9,500, the price Tan ordinarily would charge a wholesaler for the same items.The retail price of the furniture was
$12,500, and Tan's cost was $9,000.The company also paid for Peggy's parking space in a garage near the office.The parking fee was $600 for the year.All employees are allowed to buy furniture at a discounted price comparable to that charged to Peggy.However, the company does not pay other employees' parking fees.Peggy's gross income from the above is:
A) $-0-.
B) $600.
C) $3,500.
D) $4,100.
E) None of these.
Correct Answer:
Verified
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