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What It Means to Invest in Stocks? Common stock is considered to be one of the most popular investment vehicles for long-term wicalth buifing. Investors
What It Means to Invest in Stocks? Common stock is considered to be one of the most popular investment vehicles for long-term wicalth buifing. Investors earn inceme from common stock in the form of dividends and/or capital gains, As an investor it is igportant to understand the implications of irvesting in stocks from a tax perspective. Two years ago, Kevin purchased 100 shares of a particular compary's stock at a price of $111.17 per share, Last year, Kevin recened an annual dividend of $1.20 per share, and at-the end of the yeat, a share of stock was trading at $112.22 per share. This yeac, Kevin recerved an annual dividend of \$1.32 per share and afterward sold all 100 shares at a price of $122.43 per share. In the furst column of the following table, enter the total annual dividends Kevin received each year, as well as the total capital gains at the end of each year. - Suppose Kevin is in the 2895 tax bracket. Compote the taves Kevin poys each year on dividends and capital gains from this investment by completing the second column in the table Calculating Takes Owed on Kevin's Investment The total arkbunt of investment income (ore takes) that, Kevin carned on thes investment over the course of 2 yesis is The total amcunt thint kovin pays in taves of income from thes urvestment income is
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