If a Capital Asset Held for One Year or More

question 105

True/False

If a capital asset held for one year or more is sold at a gain,the gain is classified as long-term capital gain.

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Definitions:

Marginal Cost

The incremental expense incurred when a business produces another item of its product line.

Marginal Cost

The elevation in total spending caused by the assembly of one additional unit of a product or service.

Average Cost

It refers to the total cost divided by the number of goods or services produced.

Monopolist

A sole provider of a good or service in a market, facing no direct competition, which often results in the power to set prices.