Selling a car and making a profit of $3,000. This is correct because a profit from selling a car indicates a capital gain.
The process of making choice is by identifying the correct decision, gathering information, and assessing alternative solutions.
The following is an example of earning income from capital gains.
a. Hourly employee earning $17 per hour. This is incorrect because this is an earning from an employee-based.
b. Salaried employee earning $56,000 per year. This is incorrect because this is also an earning from an employee-based.
c. Selling a car and making a profit of $3,000. This is correct because a profit from selling a car indicates a capital gain.
d. Selling stocks for a total of $5,000. This is incorrect because the amount of $5,000 is not recognized as a gain in this gain.
More about the decision-making link is given below.
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