Jack buys 1000 shares of Acme January 1, Year 1. At the end of the second year (December 31. Year 2), he buys 100 more shares at $108 per share. At the end of the third year (December 31, Year 3), he buys another 100 shares for $125 per share. The stock pays a dividend of $2.00 per share on December 29 of each year. Acme is trading at $148 as of December 31, Year 4 when he sells all shares. What is the dollar weighted return for Acme since January 1, Year 1 to today?
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- Mahan purchases 1,000 shares of Bluebird Corporation stock on October 3, 2022, for $280,000. On December 12, 2022, Mahan purchases an additional 750 shares of Bluebird stock for $196,000. According to market quotations, Bluebird stock is selling for $280 per share on 12/31/22. Mahan sells 500 shares of Bluebird stock on March 1, 2023, for $156,800. a. What is the adjusted basis of Mahan's Bluebird stock on December 31, 2022? Feedback Check My Work b. What is Mahan's recognized gain or loss from the sale of Bluebird stock on March 1, 2023, assuming the shares sold are from the shares purchased on December 12, 2022? In your computations, round the per share amount to the nearest whole dollar and use the rounded amount in subsequent computations. Mahan's recognized gain ✓is $ Feedback Check My Work Partially correct c. What is Mahan's recognized gain or loss from the sale of Bluebird stock on March 1, 2023, assuming Mahan cannot adequately identify the shares sold? Mahan has a recognized…Kevin purchases 1,000 shares of Bluebird Corporation stock on October 3, 2020, for $445,000. On December 12, 2020, Kevin purchases an additional 750 shares of Bluebird stock for $311,500. According to market quotations, Bluebird stock is selling for $445 per share on 12/31/20. Kevin sells 500 shares of Bluebird stock on March 1, 2021, for $249,200. a. What is the adjusted basis of Kevin’s Bluebird stock on December 31, 2020? $______ b. What is Kevin's recognized gain or loss from the sale of Bluebird stock on March 1, 2021, assuming the shares sold are from the shares purchased on December 12, 2020? In your computations, round the per share amount to the nearest whole dollar and use the rounded amount in subsequent computations. Kevin's recognized _______ is $__________. c. What is Kevin's recognized gain or loss from the sale of Bluebird stock on March 1, 2021, assuming Kevin cannot adequately identify the shares sold? Kevin's recognized _______ is $__________.On March 13, Folder purchased 100 shares of Straddle Co. stock for $57 per share. On April 5, Folder sold the shares for $50. Folder later purchased 50 shares of Straddle for $55 per share on April 12. Which section and subsection of the Internal Revenue code determines the basis of Folder’s shares purchased on April 12?
- Sam buys 500 shares fo XYZ, Inc. for $10,000. On December 15, 2020. he sells all of these shares for $7,000 (a $3.000 loss). On January 10, 2021, he buys another 500 shares of identical XYZ stock for $8,000. What is Sam's basis in the XYZ stock purchased on January 10, 2021?Bob purchases 25,000 shares of common stock of Super Duper for $100,000. Exactly one year later when the stock is selling for $5 per share, Bob sells 5,000 shares for $25,000 and holds on to the remaining 20,000 shares. Which of the following statements is correct? a.) Bob has a realized capital gain of $4,000 and an unrealized capital gain of $1,000. b.)Bob has a realized capital gain of $5,000 and an unrealized capital gain of $20,000. c.)Bob has a $25,000 realized capital gain. d.)Bob has a $5,000 unrealized capital gain.Peter purchases 100 shares of ABC stock for $10,000 on April 20th, and another 100 shares of ABC stock on June 19th. Peter sells ABC stock on November 22nd. What is Peter's basis in ABC stock at the time of the sale? a. $16,000 b. $16,500 c. $17,000 d. $10,000
- Kevin purchases 1,000 shares of Bluebird Corporation stock on October 3, 2020, for $445,000. On December 12, 2020, Kevin purchases an additional 750 shares of Bluebird stock for $311,500. According to market quotations, Bluebird stock is selling for $445 per share on 12/31/20. Kevin sells 500 shares of Bluebird stock on March 1, 2021, for $249,200. What is Kevin's recognized gain or loss from the sale of Bluebird stock on March 1, 2021, assuming the shares sold are from the shares purchased on December 12, 2020? Kevin's recognized gain is $_______. (Side note: $41533.33 is wrong)On February 1 of Year 0, John received a nonqualified stock option to purchase 100 shares of his employer’s stock for $10 per share. At the time John received the option, it was selling for $5 per share on an established exchange. On September 1 of Year 1, John exercised the options when the stock was selling for $19 per share. On December 1 of Year 2, John sold all of the shares for $30 per share. What amount and character of income does John recognize in Year 2? $2,000 ordinary income $2,000 long-term capital gain $1,500 ordinary income $1,500 long-term capital gainEric died on July 24, this year. At the time his death, he owned 1,000 shares of Jefferson Crab stock. Given the trade prices for Jefferson Crab surrounding Eric's date of death, at what value will the Jefferson Crab be included in Eric's gross estate? $101 per share on Thursday, July 15 $104 per share on Monday, July 19 $103 per share on Tuesday, July 27 $108 per share on Wednesday, July 28 $103,290 $103,440 $103,500 $104,000 Clear my choice
- Maria purchased 100 shares of JAX stock for $30 per share and sold this same stockone year later for $29 per share. She paid commissions of $50 when she purchasedthe stock and $45 when she sold the stock. Dividends of $2 per share were paidduring the year. The capital loss on this stock transaction was?On March 30, 2021, Frank and his wife Susan each bought 1,000 shares of Wolf Corporation stock at $12 per share. Two years later, the stock price started to drop. On April 15, 2023, Susan sold all her 1,000 shares at $11 per share and Frank sold 500 shares at $11 per share. Half a month later, on April 30, 2023, the stock price dropped to $10 per share and Frank bought 1,500 shares at the market price. Answer the following questions using the information above. Enter the appropriate amounts in the designated cells. Enter all amounts as positive values. If no entry is necessary, enter a zero (0). For the last question, select from the option list provided the appropriate holding period. Question 1. What is the loss recognized by Susan on her sale of Wolf stock on April 15, 2023? 2. What is the loss recognized by Frank on his sale of Wolf stock on April 15, 2023? 3. What is Frank's basis in the Wolf stock he purchased on April 30, 2023? 4. What is the holding period of the stock Frank…Mr. Chan’s employer gave him a share option in March last year to buy 10,000 shares in X Ltd for $5 each when the market price of the shares was $10. Mr. Chan exercised the share option in March this year when the market price of the shares was $15 each. He sold all the shares yesterday for $20 each. What is the share option gain to be included in the assessable income?