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Luba_88 [7]
3 years ago
7

Capital gains may be preferred by investors over dividends even if dividends and capital gains are taxed at the same rate becaus

e
a. taxes on dividends are withheld immediately
b. taxes on capital gains are paid annually
c. taxes on capital gains can be timed
d. after-tax dividends are less certain than capital gains
Business
1 answer:
lawyer [7]3 years ago
6 0

Answer: c. taxes on capital gains can be timed

Explanation:

Capital gains represent an appreciation in the value of a security therefore they bring in profit to the owners of that security. Capital gains are not taxed until the owner sells the security which means that these taxes can be timed by the owner who can decide to sell at specific times to reduce their tax bill.

This is different from dividends that are taxed as soon as the company declares them. The investors have no say as to the tax timing so they will prefer capital gains where they have some form of control.

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Your parents will retire in 19 years. They currently have $300,000, and they think they will need $1 million at retirement. What
Svetlanka [38]

Answer:

rate = 6.54%

Explanation:

we need to find the rate at which a capital of 300,000 becomes 1,000,000 in a period of time of 19 years.

<u>So we build the following equation:</u>

300,000 (1+r)^{19} =1,000,000

(1+r)^{19} =1,000,000 \div 300,000

r=\sqrt[19]{1,000,000 \div 300,000}-1

rate = 0.065417765 = 6.54% after rounding

This will be the rate my parent will require to generate 1,000,000 in 19 years with their current savings of 300,000.

3 0
3 years ago
Lisa lives next to a vacant plot that belongs to Carol. Carol has never visited the plot in the last 20 years during which perio
RUDIKE [14]

Answer:

Adverse possession.

Explanation:

In this scenario, Lisa lives next to a vacant plot that belongs to Carol. Carol has never visited the plot in the last 20 years during which period, Lisa has taken care of it by fencing the plot and mowing the grass. If this continues, Lisa will be able to claim ownership of land based on adverse possession.

In Real estate law, Adverse possession is a legal principle which allows a non-owner individual to possess a piece of land and gain title with the exclusion of the real owner, after a certain period of time.

However, the non-owner occupant must proof to the court of law meets the following requirements;

1. Continuous.

2. Hostile.

3. Open.

4. Actual.

5. Exclusive.

5 0
3 years ago
The purchase of one cup of coffee a day...
MrRissso [65]
Answer is c


Hope that helps
4 0
3 years ago
In what way(s) do private loans differ from federal loans? interest rates are based on credit history fewer repayment options co
seraphim [82]

<u>All answers are correct</u><u>  is the correct option .</u>

What is the advantage of federal loans over private loans?

  • Private loans and some credit card interest rates are frequently significantly more expensive than the fixed interest rate. Look up the APRs for federal student loans right now.
  • The interest rate is predetermined and may be significantly less than those for some credit cards and private loans.

What distinguishes private loans from federal loans?

The main distinction between federal and private loans is that federal loans are provided by the government, whereas private loans are provided by banks, credit unions, and other financial institutions.

Learn more about federal loans

brainly.com/question/16724065

#SPJ4

4 0
2 years ago
When the drawee of an unaccepted draft or check pays to a holder the amount due in full, all parties to the instrument are disch
aleksklad [387]
<span>The fraud protection process does offer protection for involved individuals so that they are not held financially responsible when activities are based on fraudulent circumstances.</span>
3 0
3 years ago
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