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Mitch travels extensively in his job as an executive vice president of Arthur Consulting Company. During the current year, he used frequent flier miles that he had obtained during his business travel to take his family on a vacation to Europe. The normal airfare for the trip would have been $6,000.
a. Discuss whether Mitch has realized income from the use of the frequent flier miles for personal purposes.
b. Will Mitch have to recognize any income from the use of the frequent flier miles? Explain.
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