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Business, 18.05.2021 01:10 ridzrana02

Assume the same facts as in Problem I:7-33. In addition, assume that in 2019, Angela receives an additional $7,000 in a settlement of a lawsuit arising because of the snow-skiing accident. $4,000 of the settlement is to pay Angela’s medical bills, and $3,000 is to reimburse her legal expenses. What is the proper tax treatment of this $7,000 settlement?

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Assume the same facts as in Problem I:7-33. In addition, assume that in 2019, Angela receives an add...
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