Under the Swan Company's Cafeteria Plan,all Full­time Employees Are Allowed

Under the Swan Company's cafeteria plan,all full­time employees are allowed to select any combination of the benefits below,but the total received by the employee cannot exceed $8,000 a year. Which of the following statements is true?

A) Sam,a full-time employee,selects choices II and III and $2,000 cash.His gross income must include the $2,000.
B) Paul,a full­time employee,elects to receive $8,000 cash because his wife's employer provided these same insurance benefits for him.Paul is not required to include the $8,000 in gross income.
C) Sue,a full-time employee,elects to receive choices I,II and $3,200 for III.Sue is required to include $3,200 in gross income.
D) All of these.
E) None of these.