5
lesson pretestMultiple Choice

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Question 5 • Mathematics for Data and Financial Literacy

Which example would typically be considered a deduction when calculating taxable income?

Answer
A
investment gains
B
charitable contributions
C
salary and wages
D
lottery winnings

Explanation

A deduction is an amount subtracted from income when calculating taxable income. Charitable contributions may qualify as deductions, reducing the income subject to tax. Lottery winnings, salary and wages, and investment gains are generally types of income, not deductions.

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