Question

Padraig is a financial advisor. He earned a salary of $80,000 last year and sold stocks for $5,000. Which of the following types of income did Padraig have?

I earned income
II passive income
III capital gains income
a.
I and II
b.
I and III
c.
II and III
d.
III

Answer 1

Answer: the answer is b. I and III

Explanation:

Answer 2

Whereas he wasn't passive, which means he's making money without really doing anything, in selling his stocks, the answer is b. I and III