Which of the Following Statements Is Correct

question 12

Multiple Choice

Which of the following statements is correct?

• A)Historically, the government has taxed capital gains favorably to encourage economic growth.
• B)A short-term capital gain is the result of a sale of an asset that was held for less than one year.
• C)Short-term gains do not receive favorable tax treatment under the current laws.
• D)Current tax law restricts the deduction of net capital losses to $3,000 per year.
• E)​All of the above.

---

Definitions:

Petechiae

Tiny, round spots that appear on the skin as a result of bleeding under the skin.

Pinpoint-sized

Extremely small, as in the size of a pin's point, usually used to describe something very tiny in diameter.

Lordosis

A condition characterized by an excessive inward curve of the spine, typically in the lower back.

Kyphosis

A spinal disorder leading to an excessive outward curve of the spine, causing a hunchback or slouching posture.