1) A person complains about how expensive it is to be a cigarette smoker. One of the reasons cigarettes are so expensive is that

A: the tobacco supply is controlled by the Federal Trade Commission (FTC).

B: the tobacco industry imports most of the tobacco.

C: their cost is controlled by the Food and Drug Administration (FDA).

D: the government imposes an excise tax on them.

2) One of the benefits of holding an investment for over a year rather than selling it in less than a year is that the

A: capital gains on the investment will be taxed at a lower rate.

B: fees will not be charged by brokers for selling the investment.

C: money earned on the investment will be considered tax-free.

D: profits on the investment can be averaged over the length of time the investment is held.