Which of the Following Types of Income Are Not Considered

question 4

Multiple Choice

Which of the following types of income are not considered ordinary income?

• A) Compensation income.
• B) Net long-term capital gains (in excess of short-term capital losses).
• C) Qualified dividend income.
• D) Both compensation income and qualified dividend income.
• E) Both net long-term capital gains (in excess of short-term capital losses) and qualified dividend income.

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Definitions:

Operational Risk

The risk of loss resulting from inadequate or failed internal processes, people, and systems, or from external events.

Remote Employees

Workers who are employed by a company but perform their job duties from a location outside of the traditional office environment, often from home or another remote setting.

Business Strategy

The plan and actions a company takes in order to achieve its business goals and to secure a competitive position in the market.

Abject Poverty

A condition characterized by extreme poverty where individuals lack the basic necessities of life, such as food, clothing, and shelter.