Caleb teaches economics at Yucky University and is paid $50,000 per year.He also provides economic forecasts for local business for which he charges $100 per hour.What type of income does Caleb have?

Question

Quizplus · Accepted Answer

Caleb has two sources of income: his salary from teaching economics and his income from providing economic forecasts for local businesses. The salary is considered wage income, while the income from providing economic forecasts is considered proprietor's income. Therefore, some of Caleb's income is salary and some is proprietor's income.

Caleb Teaches Economics at Yucky University and Is Paid $50,000