Gross income includes all of the following except a. capital gains realized.

b. interest or dividends received.

c. salary or wages.

d. employer's current contribution to 401 (k).

d. employer's current contribution to 401 (k).

Explanation:

Gross income -

Gross income is different for an individual and different for a business.

Hence, for an individual, It is the total pay of an individual excluding the tax deductions.

It includes all the source of income.

For business or companies, It is the gross income, as given in the income statement. It is also called the gross margin or gross profit.

Hence, the incorrect statement is (d).