ECONOMICS
MONEY MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Your paycheck
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interest on a savings account
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birthday money
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These are all examples on income
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Detailed explanation-1: -Ordinary income encompasses earnings, interest, regular dividends, rental income, distributions from pensions or retirement accounts, and Social Security benefits. Ordinary income is taxed at rates ranging from 10% to 37% in 2022.
Detailed explanation-2: -Money you borrow or money you receive as repayment of a loan is not income. However, interest you receive on money you have lent is income.
Detailed explanation-3: -Earned or Active Income. What it is: Earned or Active income is the most common way that people are taught to make money. Portfolio or Investment Income. Passive Income. Inherited Income.
Detailed explanation-4: -Active income. If you have a job and receive a paycheck, you make your money through active or earned income . Portfolio income. Portfolio income comes from investments such as dividends, interest, royalties and capital gains. Passive income. 03-Feb-2023