Chadwick bought 50 shares of Chipotle stock on Nov 1, 2016 for $396.33 per share. He sold the shares four years later for $778.38 per share. a) What did Chadwick pay for dl of the shares in 2016? b) What was the vdue of dl of his shares four years later? How much money did he gain/lose with this stock? d d) What is his rate of return on his shares when he sold them?

Q: Prepare the entry to record the purchase of Cullumber Company on Linden's books. (Credit account…

A: The acquisition is one of the transactions where one company purchases or acquires another company…

Q: Accounting equation system

A: The answer is provided as follows:

Q: classified balance sheet

A: Classified balance sheet is a part of financial statements in which items are classified under…

Q: Distinct features between management accounting and financial accounting

A: The objective of this question is to distinguish between management accounting and financial…

Q: Define Economic entity assumption.

A: Economic entity assumption is an accounting principle that separates the  transactions carried out…

Q: Basic purpose of accounting

A: There are two basic purpose of Accounting they are 1. Ascertaining Financial results (Profit ans…

Q: Question: 1) define Accounting Information System (AIS) ? briefly define.

A: Lets understand the basics. Accounting information system basically means a developed system which…

Q: Distinguish between assets and liabilities.

A: Step 1 Assets can be defined as the resources owned by the organization which is capable of…

Q: Relationship between IT Control and Financial reporting

A: Information Technology (IT) control can be defined as the specific activities that are performed by…

Q: Explain purchase accounting

A: Purchase accounting means any premium paid by bidder in excess of the value of books of aims assets…

Q: Whole Accounting cycle and example

A: Solution:- Introduction:- Accounting Cycle, also known as “accounting process” or “Book-keeping…

Q: What are operational assets? Give example?

A: Operational assets: Operational assets are those assets acquired for use in the day to day…

Q: termediate goods in manage

A: In the context of management accounting, intermediate goods are products that are not quite finished…

Q: Define accounting equation

A: Financial Accounting: It refers to the process of recording the financial transactions of the…

Q: state the accounting equation and itss components - pls explain in details with examples

A: Accounting refers to the process of recording, posting, analyzing, and reporting the transactions of…

Q: What is management accounting information used for? taking example

A:

Q: Define Debit

A: Accounting depends on double entry system. As per dual aspect principle of accounting, each and…

Q: What accounting information system provides?

A: An Accounting Information System (AIS) is a structure that a business uses to collect, store,…

Q: what is current assets

A: Assets are the resources that a firm or an individual owns at a particular time. Assets are created…

Q: Differentiate the Revenue Cycle and Expenditure cycle

A: The processes of the business are divided into different accounting cycles. The revenue cycle,…

Q: accounting and auditing

A: Accounting is started when the bookkeeping is completed. Whereas, auditing is started when…

Q: Define Profi t and loss (P&L) statement

A: Introduction: The financial statement is a detailed analysis of the financial situation of the…

Q: What does operating activities includes?

A: Statement of cash flows: This statement reports all the cash transactions which are responsible for…

Q: Range of services provided by accounting

A: Accounting is a process of identifying and recording the financial transactions of an organization…

Capital Gain

Any capital asset when sold can give the seller a higher or lower price from its purchase price leading to a capital gain or capital loss. The time period of holding an asset is decided based on if it is a long term or short-term capital gain. On that basis, the rate of taxation is decided if it is 20%, 15% or according to the tax brackets. The rate of taxation differs in the case of equity or debt, whether long or short term. The capital gain can be adjusted from capital loss to arrive at a net capital gain. The amount of gains and the exemption has to be reported in the tax return filed in the financial year in which the asset was transferred. The tax return can be filed quarterly, monthly, semi-annually or annually.