A friend who is a painter offers to do it free of charge


Question - Jada is remodeling her bathroom. She is a plumber and so on every weekend, during her days off, for three months she spends time updating the plumbing system to her home. By doing it herself she has saved $1,100 (estimated cost to hire a plumber to do the same work). Once all the bathroom updates are done she decides to repaint it. A friend who is a painter offers to do it free of charge which saves her $600. How much gross income should Jada report as a result of these two transactions?

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Accounting Basics: A friend who is a painter offers to do it free of charge
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