The Fishers did very well on their investment choice.They earned $280 in dividend income from their stock investment this year.Later in the same year when they sold the stock,they realized a long-term capital gain of $2,984.How much of this dividend and capital gain income will they have to pay taxes on?

Question

Quizplus · Accepted Answer

Both dividend income and capital gains are taxable income. The Fishers will have to pay taxes on both the $280 dividend income and the $2,984 capital gain, which adds up to $3,264.

The Fishers Did Very Well on Their Investment Choice