Belinda spent the last 60 days of 2012 in a nursing home

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LO.2 Belinda spent the last 60 days of 2012 in a nursing home. The cost of the services provided to her was $16,000. Medicare paid $8,500 toward the cost of her stay. Belinda also received $9,500 of benefits under a long-term care insurance policy she purchased. What is the effect on Belinda’s gross income?

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