During 2022, Roberto sold 830 shares of Casual Investor Mutual fund for $8.875 per share. The shares were purchased on the following dates: Date May 31, 2018 September 18, 2019 October 21, 2019 Shares 400 Price $ 9.375 225 $ 8.500 425 $ 10.000 276 $ 7.125 January 12, 2021 Required: Calculate the gain (loss) on the sale under the following assumptions: a. Basis is calculated using the first-in, first-out method. Note: Round your intermediate computations and final answer to 2 decimal places. b. Basis is calculated using the average cost method (assume all shares are long-term). Note: Round "Average cost" to 3 decimal places. Round other intermediate computations and final answer to 2 decimal places. a. b.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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During 2022, Roberto sold 830 shares of Casual Investor Mutual fund for $8.875 per share. The shares were purchased on the
following dates:
Date
May 31, 2018
September 18, 2019
October 21, 2019
Shares
400
Price
$ 9.375
225
$ 8.500
425
$ 10.000
276
$ 7.125
January 12, 2021
Required:
Calculate the gain (loss) on the sale under the following assumptions:
a. Basis is calculated using the first-in, first-out method.
Note: Round your intermediate computations and final answer to 2 decimal places.
b. Basis is calculated using the average cost method (assume all shares are long-term).
Note: Round "Average cost" to 3 decimal places. Round other intermediate computations and final answer to 2 decimal places.
a
b.
Transcribed Image Text:During 2022, Roberto sold 830 shares of Casual Investor Mutual fund for $8.875 per share. The shares were purchased on the following dates: Date May 31, 2018 September 18, 2019 October 21, 2019 Shares 400 Price $ 9.375 225 $ 8.500 425 $ 10.000 276 $ 7.125 January 12, 2021 Required: Calculate the gain (loss) on the sale under the following assumptions: a. Basis is calculated using the first-in, first-out method. Note: Round your intermediate computations and final answer to 2 decimal places. b. Basis is calculated using the average cost method (assume all shares are long-term). Note: Round "Average cost" to 3 decimal places. Round other intermediate computations and final answer to 2 decimal places. a b.
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