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Melanie owns units of a mutual fund. She receives a cash distribution of $100 from the fund. She believes that she will not be taxed

Melanie owns units of a mutual fund. She receives a cash distribution of $100 from the fund. She believes that she will not be taxed on the distribution if she reinvests it in additional units of the fund. Is she right? a) Yes b) Yes, but only if the mutual fund is constituted as a trust c) Yes, but only if the mutual fund is constituted as a corporation d) No

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