Robin, a senior at state university, receives free room and board as full compensation for working as a resident advisor at the university dormitory. the regular housing contract is $1,400 a year in total, $800 for lodging and $600 for meals in the dormitory. robin had the option of receiving the meals or $600 in cash. robin accepted the meals. what is robin’s gross income from working as a resident advisor? a.$0, the entire value of the contract is excluded from gross income. b.$600, the meal contract must be included in gross income. c.$800, the lodging contract must be included in gross income. d.$1,400, the entire value of the contract is compensation. e.none of the above.

Exercise 12-7 shown below are comparative balance sheets for flint corporation. flint corporation comparative balance sheets december 31 assets 2017 2016 cash $ 201,348 $ 65,142 accounts receivable 260,568 225,036 inventory 494,487 559,629 land 236,880 296,100 equipment 769,860 592,200 accumulated depreciation—equipment (195,426 ) (94,752 ) total $1,767,717 $1,643,355 liabilities and stockholders’ equity accounts payable $ 115,479 $ 127,323 bonds payable 444,150 592,200 common stock ($1 par) 639,576 515,214 retained earnings 568,512 408,618 total $1,767,717 $1,643,355 additional information: 1. net income for 2017 was $275,373. 2. depreciation expense was $100,674. 3. cash dividends of $115,479 were declared and paid. 4. bonds payable amounting to $148,050 were redeemed for cash $148,050. 5. common stock was issued for $124,362 cash. 6. no equipment was sold during 2017. 7. land was sold for its book value. prepare a statement of cash flows for 2017 using the indirect method.