Rifky wins $10,000 in a lottery and receives $500 in interest from their savings account. How do taxes apply to the money received?
A
The 500 dollars in interest and the 10 dollars comma 000 lottery winnings are both tax-exempt.B
The 500 dollars in interest is tax-exempt, but the 10 dollars comma 000 lottery winnings are taxable.C
The 500 dollars in interest is taxable, but the 10 dollars comma 000 lottery winnings are tax-exempt.D
The 500 dollars in interest and the 10 dollars comma 000 lottery winnings are both taxable.