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Under which of the following circumstances may 'capital gains' arise? 1. When there is an increase in the sales of a product 2. When there is a natural increase in the value of the property owned 3. When you purchase a painting and there is a growth in its value due to increase in its popularity Select the correct answer using the codes given below:

A1 only
B2 and 3 only
C2 only
D1, 2 and 3
Answer & Solution
Correct answer: B. 2 and 3 only
UPSC CSE Prelims 2012 (GS-I, Set A), Q.76. Answer key: B (coaching consensus; UPSC did not publish an official 2012 AK separately on upsc.gov.in).
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