Question

Suppose that during the year, Courtney recognized the following income from investments: 3,000 of qualified dividends and500 of taxable interest. What is Courtney's gross investment income?

Answer 1

Courtney's gross investment income for the year would be $3,500, calculated by summing her qualified dividends of $3,000 and taxable interest of $500.

Step-by-step explanation:

Courtney's gross investment income is calculated by adding up all the income she has received from investment sources within the year. In this scenario, Courtney has recognized $3,000 in qualified dividends and $500 in taxable interest. To determine her gross investment income, we simply add these two amounts together.

Therefore, Courtney's gross investment income would be $3,000 (qualified dividends) + $500 (taxable interest) = $3,500.