Question

which of the following is an example of a capital gain?
putting money into a high - interest savings account
selling a video game you bought for $20 and selling it for $30
getting interest added to your savings account every month
receiving money from a company you own stock in

Explanation:

To determine the example of capital gain, we recall that capital gain is the profit from selling an asset (like property, stocks, or personal items) at a higher price than its purchase price.

• "Putting money into a high - interest savings account" is a savings activity, not a sale of an asset for profit.
• "Selling a video game you bought for $20 and selling it for $30" involves buying an asset (the video game) and selling it at a higher price ($30 > $20), so this is a capital gain.
• "Getting interest added to your savings account every month" is interest income, not from selling an asset.
• "Receiving money from a company you own stock in" is dividend income, not capital gain (capital gain would be from selling the stock at a profit).

Answer:

Selling a video game you bought for $20 and selling it for $30