Question

What is known as a capital income,with examples​

Answer 1

Capital income is income generated by an asset over time, rather than from work done using the asset, according to Investopedia. If a farmer buys land for a certain amount of money and sells it at a profit after one year, the difference in the prices is capital income.

Answer 2

Capital income is income generated by an asset over time, rather than from work done using the asset.

Step-by-step explanation:

Capital income is the income generated through the possession of wealth, such as rental income, gains from selling an asset, dividend income, certain interest income, proceeds from a life insurance contract, and the share of profits of an investment fund.