AAFM Chartered Wealth Manager (CWM) Certification Level II Examination CWM_LEVEL_2 Question # 114 Topic 12 Discussion

AAFM Chartered Wealth Manager (CWM) Certification Level II Examination CWM_LEVEL_2 Question # 114 Topic 12 Discussion

CWM_LEVEL_2 Exam Topic 12 Question 114 Discussion:
Question #: 114
Topic #: 12

Section B (2 Mark)

As a result of a lawsuit, Catherine was awarded $300,000 for compensatory damages and $400,000 for punitive damages. What is the taxable income resulting from this suit?


A.

$0


B.

$300,000


C.

$400,000


D.

$700,000


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