An individual investor is subject to a 30 percent tax on dividends and 20 percent tax on capital gains, what is the effective tax rate for the investor? 10% 13% 14%

CONCEPTS IN FED.TAX.,2020-W/ACCESS
20th Edition
ISBN:9780357110362
Author:Murphy
Publisher:Murphy
Chapter1: Federal Income Taxation—an Overview
Section: Chapter Questions
Problem 43P
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An individual investor is subject to a 30 percent tax on dividends and 20 percent tax on
capital gains, what is the effective tax rate for the investor?
10%
O 13%
14%
Transcribed Image Text:An individual investor is subject to a 30 percent tax on dividends and 20 percent tax on capital gains, what is the effective tax rate for the investor? 10% O 13% 14%
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