Question 3

The sources from which income is derived

	A	B	C	D
Labor	True	True	True	False
Gifts and inheritance	True	False	False	False
Use of Capital	True	True	False	False

• C
• A
• D
• B

Question 4

4.Which of the following is a characteristic of income

	A	B	C	D
Increase in taxpayers wealth	True	True	True	False
Realization of gain	True	False	False	False
Return on taxpayers wealth	True	True	False	False

• A
• D
• B
• C

Question 6

6.Which of the following is not an income for income tax purposes?

• a. gain derived from labor
• c. excess of selling price over cost of assets sold
• d. gift received
• b. return on capital