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An Investor Is in a 35% Tax Bracket for Normal

Question 77

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An investor is in a 35% tax bracket for normal (ordinary) income. During the course of the year, he received $5,000 in dividends and had $15,000 capital gains on stock he had held for 19 months. How much will his total tax be on this investment-related income?

Correct Answer:

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$3,000
Explanation: All the income is ta...

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