What is definition of a capital asset and give examples

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1. In what ways are U.S. savings bonds treated more favorably for tax purposes than corporate bonds?

2. When should investors consider making an election to amortize market discount on a bond into income annually?

3. Why might investors purchase interest-paying securities rather than dividend- paying stocks?

4. Compare and contrast the tax treatment of dividend-paying stocks and growth stocks.

5. What is the definition of a capital asset? Give three examples of capital assets.

Reference no: EM13905928

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