Suppose the capital gains tax is 28 percent and you purchased a house ten years ago for $80,000. If you sold the house today you would get $140,000. Your tax liability would be
A. $39,200.
B. $16,800.
C. indeterminate without knowing the inflation rate.
D. indeterminate without knowing the personal income tax rate.
Answer: B
You might also like to view...
According to this Application, real GDP only grew by ________ percent from the end of the recession in 2009 through 2014
A) 2.0 B) 5.4 C) 10.8 D) 15.0
Because women have a longer average life span than men, they pay
A) more for health insurance. B) less for health insurance. C) more for life insurance. D) less for life insurance.
Which of the following fiscal programs is least likely to affect aggregate demand?
a. Defense spending b. Road construction c. Grants for scientific research and development d. Social Security for women e. Government purchases of labor
Total utility: a. generally diminishes as consumption of a good increases. b. always increases as consumption increases
c. increases only as long as marginal utility increases. d. increases as long as marginal utility is positive.