Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question
aa.4

Transcribed Image Text:# of Shares
100
125
150
200
400
Total
O $52.000
O $7,500
Value per Share
$44,500
$10
$12
$13
$15
$18
Value of Contribution
$1,000
$1,500
$1,950
$3,000
$7,200
Brianna sells stock several years after she received it as a distribution from a qualified stock bonus plan. When the stock was
distributed, she had a net unrealized appreciation of $7,500. Brianna also had ordinary income from the distribution of
$29,000. The fair market value of the stock and the sale price at the time of sale was $81,000. How much of the sale price will
be subject to long-term capital gain treatment?
$14,650
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