Which of the following is an example of a capital gain?

A capital gain occurs when an asset, such as stocks, real estate, or other investments, is sold for a higher price than its original purchase price. This increase in value results in a profit, which is referred to as a capital gain.

In this scenario, selling a stock at a higher price than you bought it perfectly exemplifies a capital gain because the increase in the stock's price reflects a financial benefit that one realizes upon selling the asset. This gain is typically subject to capital gains tax, depending on how long the asset was held before selling it.

The other options do not represent capital gains. Interest payments from bonds and dividends from mutual funds are forms of income but do not involve selling an asset for a profit. Similarly, investing in a savings account generates interest, which is also considered income rather than a capital gain.