You are having a conversation with a friend. She has $100,000 to invest. She has 3 options to earn income from investing the $100,000. These include buying and selling stocks (short term) at gains to achieve income, investing in high dividend stocks that pay a dividend to get income every quarter, or investing in a CD account that pays interest income every month. Which would you suggest her to invest in if she wants a higher return, but also wants to pay as little taxes as possible? Go through the taxation of each investment in your analysis.

Answer rating: 100% (QA)

I understand that your friend has 100000 to invest and is looking for a higher return while minimizing taxes Heres my analysis of the three options she has Buying and selling stocks short term at gain... View the full answer