Compensation
Response to the following problem:
Mark Wellaby, M.D., practices medicine. During the year he received the following items in payment for his services: cash of $48,000; farm produce worth $1,000; common stock with a total par value of $500; and a $485, 90-day noninterest-bearing note dated December 1. The stock at the time of receipt had a fair market value of $1,000. At December 31, the fair market value of the stock had dropped to $900. Compute Dr. Wellaby's gross income.