During the year, Cathy received the following: • Dividends of $4,000 from Lindsay Corporation. Cathy's father owned the stock and directed the corporation to send the dividends to Cathy. • A car worth $30,000 for being the 100th customer at a car dealership. • $5,500 cash gift from her uncle. • $10,000 inheritance from her grandmother.

During the year, Cathy received the following: • Dividends of $4,000 from Lindsay Corporation. Cathy's father owned the stock and directed the corporation to send the dividends to Cathy. • A car worth $30,000 for being the 100th customer at a car dealership. • $5,500 cash gift from her uncle. • $10,000 inheritance from her grandmother.

During the year, Cathy received the following:
• Dividends of $4,000 from Lindsay Corporation. Cathy's father owned the stock and directed the corporation to send the dividends to Cathy.
• A car worth $30,000 for being the 100th customer at a car dealership.
• $5,500 cash gift from her uncle.
• $10,000 inheritance from her grandmother.


What amount must Cathy include in gross income?

A) $30,000
B) $34,000
C) $39,500
D) $49,500


Answer: A