Question

Question
Which of the following are considered to be capital gains?(1 point)
Responses

the profit earned on the sale of an asset which has increased while it was owned
the profit earned on the sale of an asset which has increased while it was owned

the interest earned from a government bond
the interest earned from a government bond

the new value of a stock after the market closes
the new value of a stock after the market closes

the money lost when a stock is sold for less than it was purchased for

Answers

GPT-4o mini
The correct response that describes capital gains is:

- **the profit earned on the sale of an asset which has increased while it was owned**

The other options do not represent capital gains. Interest from a government bond is considered income, the new value of a stock after the market closes is not a realized gain or loss until the stock is sold, and the money lost when a stock is sold for less than its purchase price represents a capital loss, not a capital gain.

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