Christine receives 1,000 shares of stock in ABCCorporation as an inheritance from her deceasedmother. At the time of death, the shares have a FMV ofP35,000. It was originally purchased by the mother forP24,000. |Christine then sold 300 shares to ABC Corporation forP45 each. ABC recognizes such shares as treasury shares.Christine incurred commission expenses ofP 500, LJST ofP200, and other selling expenses of P150.2.ABC then sold the same shares to another shareholder for P38each.How much is the CGT due from Christine?322.50b. 750a.C.0.d. 450

Working note:- Christine received 1000…

Answered: Christine receives 1 000 shares of…

Business

Accounting

Christine receives 1 000 shares of stock in ABC

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Christine receives 1,000 shares of stock in ABC
Corporation as an inheritance from her deceased
mother. At the time of death, the shares have a FMV of
P35,000. It was originally purchased by the mother for
P24,000. |
Christine then sold 300 shares to ABC Corporation for
P45 each. ABC recognizes such shares as treasury shares.
Christine incurred commission expenses ofP 500, LJST of
P200, and other selling expenses of P150.
2.
ABC then sold the same shares to another shareholder for P38
each.
How much is the CGT due from Christine?
322.50
b. 750
a.
C.
0.
d. 450

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