Question

Li Wei has several streams of income, as shown in the table. Some streams are active income and some are passive.

Source

Amount

Royalties from a fantasy novel

$1400

Salary

$24,000

Stock dividends

$530

Business investment interest

$1080

Profits from selling jewelry online

$3195

What was his total passive income this year? Enter your answer rounded to the nearest dollar, such as: $4253.

Answer 1

Based on the streams of income that Li Wei has, we can calculate that he has a total passive income of $3,010.

Passive income refers to income that is made without a person actively involving themselves in the activity generating the income.

In this scenario, the passive income sources are:

• Stock dividends
• Business investment interest
• Royalties from a novel

Total passive income therefore is:

= 530 + 1,080 + 1,400

= $3,010

In conclusion, the total passive income is $3,010.

Find out more at https://brainly.com/question/1246309.