Dividends and Interest Income Are Taxed as Long-Term Capital Gains

question 125

True/False

Dividends and interest income are taxed as long-term capital gains under the current tax laws.

---

Definitions:

Minimum

The lowest permissible limit or the least possible amount or degree of something.

Marginal Cost

The funds required to produce an extra item of a product or service.

Average Fixed Cost

Fixed production charges (remaining constant irrespective of output size) partitioned by the amount of production.

Average Total Cost

Average total cost is the total cost of production divided by the total quantity produced, representing the cost per unit of output produced.