Which of the following represents income?
A) savings and interest on savings
B) earned wages and stocks
C) earned wages and interest on savings
D) savings and stocks

Question

Quizplus · Accepted Answer

Income refers to money earned through work or investment. Therefore, the best choice is C, which includes both earned wages and interest on savings. Savings and stocks are assets, but they do not indicate income. A savings account may earn interest, which would count as income, but the savings account itself is not income. Similarly, stocks may generate dividends, which are income, but ownership of stocks alone is not income.

Which of the Following Represents Income