Which of the Following Is Not a True Statement

question 95

Multiple Choice

Which of the following is not a true statement?

• A)Dividends are a distribution of money, stock, or other property to stockholders.
• B)Dividend income must be reported to the CCRA.
• C)Dividends are taxed as capital gains.
• D)Dividends are not taxed as ordinary income.
• E)Generally, the payer will send you or your broker a form that states how much dividend income you have received.

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Definitions:

Portfolio Return

The overall gain or loss experienced by an investment portfolio over a specified period.

Stock Returns

The gain or loss made on an investment in shares, generally represented as a percentage of the investment’s initial cost.

Business Cycle

The fluctuation of economic activity that an economy experiences over a period of time, marked by phases of expansion and contraction.

Interest Rate Fluctuations

Variations in the interest rate over time, which can affect the value of investments, loans, and savings.