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The Tax on $2,000 of Profit on a Capital Asset

Question 21

Multiple Choice

The tax on $2,000 of profit on a capital asset is deferred. A person in a 24 percent tax bracket will have to pay what amount of taxes when the asset is sold?


A) $2,000
B) $1,500
C) $760
D) $480
E) $24

Correct Answer:

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