WSJ article illustrates The Escape From NYC!"

You can't do that in law.As an illustration, this is the kind of crap I've been having to study for the past 6 months where all conditions are set at the beginning and all answers are based on those conditions.http://www.admissionsconsultants.com/lsat/analytical_reasoning.asp

Yes and no, and to illustrate that I tried to be a little snarky to at the expense of our Friends from the Great White North.In summation and in regards to the OP other people have said it -- Passive Income is a term used by the IRS to define a W-2 Income versus Investment Income.

When you have a signed contract with a seller it should very clearly illustrate that you intend to either resell immediately or put a tenant in there for a profit AND that by entering into a contractual agreement with you they are allowing you to advertise the property as needed.

The illustration above allows different values to be assigned.

You want to buy as little life insurance death benefit as possible for your premium.To illustrate what I mean...

So, this illustration can not be believed and should in no way be the basis for your decision to either enter or exit in the real estate investment).

I'm thinking if I should just get an annuity or something from vanguard.It is more like one or two years that your premiums going to pay commissions and you have zero cash value, just look at the illustration for any cash value life insurance policy and you'll see what I'm talking about.

LubashaMy choice of words was meant to make a point which, while you say you understand, you are not illustrating you get it.  

@Pari Thiagasundaram is illustrating the calculation for investment yield.