BUSN 380 Course Great Wisdom / tutorialrank.com BUSN 380 Course Great Wisdom / tutorialrank.com | Page 18

Passive income
Earned income

Question 4.4. (TCO 2) Whenever an individual takes on a personal
effort and receives money, this is reported as _____ income.
passive
earned
portfolio
excluded
capital gains
Question 5.5. (TCO 2) George Washburn had earnings from his salary
of $44,000, interest on savings of $800, a contribution to a traditional
individual retirement account of $2,000, and dividends from mutual
funds of $600. George's adjusted income (AGI) would be
$43,400.
$44,000.
$45,400.
$42,000.
$42,800.
Question 6.6. (TCO 2) _____ can be calculated as a result of various
items being subtracted from gross income, such as individual
retirement account contributions and alimony payments.
Adjusted gross income
Taxable income