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Which of the following statements is true? Group of answer choices Both when you invest money,...

Which of the following statements is true? Group of answer choices

Both when you invest money, you are taxed each year on any capital gains even if you do not sell the asset and you will be taxed each year that you receive a dividend from an investment are correct.

When you invest money, you are taxed each year on any capital gains even if you do not sell the asset.

Interest earned on an investment is considered to be tax free until you sell the investment.

You will be taxed each year that you receive a dividend from an investment.

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Answer #1

D shall be selected.

d.You will be taxed each year that you receive a dividend from an investment.

Dividends are taxable as and when they are received, they shall be reported on their tax returns.

Capital gains will be taxed only at the time of sale of investment, but not every year.

Interest income is taxable as normal income, even when the investment is not sold.

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