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Dahlia is in the 32 percent tax rate bracket and has purchased the following shares of...
Dahlia is in the 32 percent tax rate bracket and has purchased the following shares of Microsoft common stock over the years: Date Purchased Shares Basis 7/10/2008 490 $ 19,110 4/20/2009 390 17,472 1/29/2010 590 19,234 11/02/2012 340 12,988 If Dahlia sells 1,070 shares of Microsoft for $63,130 on December 20, 2018, what is her capital gain or loss in each of the following assumptions? (Do not round intermediate calculations.) a. She uses the FIFO method.
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Expert Solution
| Date purchased | Shares | Basis | |||
| 7/10/2008 | 490 | 19,110 | |||
| 4/20/2009 | 390 | 17,472 | |||
| 1/29/2010 | 590 | 19,234 | |||
| 11/02/2012 | 340 | 12,988 | |||
| Under FIFO Method | |||||
| 1070 shares has been sold means the below shares has been sold | |||||
| 7/10/2008 | 490 | 19,110 | |||
| 4/20/2009 | 390 | 17,472 | |||
| 1/29/2010 | 190 | 6,194 | (19,234/590)*190 | ||
| (1070-490-390) | |||||
| Total adjusted basis | 1,070 | 42,776 | |||
| Capital gain = (63,130-42,776) = $20,354 | |||||
ekkarill92 answered 2 years agoRelated Solutions
Dahlia is in the 32 percent tax rate bracket and has purchased the following shares of...
Dahlia is in the 32 percent tax rate bracket and has purchased
the following shares of Microsoft common stock over the years:
Date
Purchased
Shares
Basis
7/10/2008
480
$
18,240
4/20/2009
380
16,644
1/29/2010
580
18,328
11/02/2012
330
12,276
If Dahlia sells 1,040 shares of Microsoft for $60,320 on
December 20, 2018, what is her capital gain or loss in each of the
following assumptions? (Do not round intermediate
calculations.)
b. She uses the specific identification method and she
wants...
Dahlia is in the 32 percent tax rate bracket and has purchased the following shares of...
Dahlia is in the 32 percent tax rate bracket and has purchased
the following shares of Microsoft common stock over the years:
Microsoft common stock
Date Purchased
Shares
Basis
7/10/2008
400
$10,000
4/20/2009
300
$11,000
1/29/2010
500
$12,230
11/02/2012
250
$7,300
If Dahlia sells 800 shares of Microsoft for $40,000 on December
20, 2020, what is her capital gain or loss if she uses the FIFO
method?
Dahlia is in the 32 percent tax rate bracket and has purchased
the...
Dahlia is in the 32 percent tax rate bracket and has purchased the following shares of...
Dahlia is in the 32 percent tax rate bracket and has purchased
the following shares of Microsoft common stock over the years: Date
Purchased Shares Basis 7/10/2008 500 $ 20,000 4/20/2009 400 18,320
1/29/2010 600 20,160 11/02/2012 350 13,720 If Dahlia sells 1,100
shares of Microsoft for $66,000 on December 20, 2018, what is her
capital gain or loss in each of the following assumptions? (Do not
round intermediate calculations.)
a. She uses the FIFO method.
Dahlia is in the...
Dahlia is in the 28 percent tax rate bracket and has purchased the following shares of...
Dahlia is in the 28 percent tax rate bracket and has purchased
the following shares of Microsoft common stock over the years:
Date
Purchased
Shares
Basis
7/10/2007
400
$
12,000
4/20/2008
300
10,750
1/29/2009
500
12,230
11/02/2011
250
7,300
If Dahlia sells 800 shares of Microsoft for $40,000 on December
20, 2017, what is her capital gain or loss in each of the following
assumptions? (Do not round intermediate
calculations.)
a. She uses the FIFO method.
b. She uses the...
Grayson is in the 24 percent tax rate bracket and has sold the following stocks in...
Grayson is in the 24 percent tax rate bracket and has sold the
following stocks in 2018: (Loss amounts should be indicated
by a minus sign.)
Description
Date
Purchased
Basis
Date Sold
Amount Realized
Stock A
1/23/1994
$
8,000
7/22/2018
$
5,100
Stock B
4/10/2018
15,500
9/13/2018
19,330
Stock C
8/23/2016
12,625
10/12/2018
17,850
Stock D
5/19/2008
5,830
10/12/2018
13,525
Stock E
8/20/2018
7,825
11/14/2018
3,875
a. What is Grayson’s net short-term capital gain
or loss from these transactions?
b....
Grayson is in the 24 percent tax rate bracket and has the sold the following stocks...
Grayson is in the 24 percent tax rate bracket and has the sold
the following stocks in 2018:
Date Purchased
Basis
Date Sold
Amount Realized
Stock A
1/23/1995
$7,250
7/22/2019
$4,500
Stock B
4/10/2019
14,000
9/13/2019
17,500
Stock C
8/23/2017
10,750
10/12/2019
15,300
Stock D
5/19/2009
5,230
10/12/2019
12,400
Stock E
8/20/2019
7,300
11/14/2019
3,500
What is Grayson’s net short-term capital gain or loss from
these transactions?
What is Grayson’s net long-term gain or loss from these
transactions?
What is...
Grayson is in the 24 percent tax rate bracket and has sold the following stocks in...
Grayson is in the 24 percent tax rate bracket and has sold the
following stocks in 2018: (Loss amounts should be indicated by a
minus sign.) Description Date Purchased Basis Date Sold Amount
Realized Stock A 1/23/1994 $ 7,650 7/22/2018 $ 4,820 Stock B
4/10/2018 14,800 9/13/2018 18,490 Stock C 8/23/2016 11,750
10/12/2018 16,660 Stock D 5/19/2008 5,550 10/12/2018 13,000 Stock E
8/20/2018 7,580 11/14/2018 3,700 a. What is Grayson’s net
short-term capital gain or loss from these transactions?
Grayson (single) is in the 24 percent tax rate bracket and has sold the following stocks...
Grayson (single) is in the 24 percent tax rate bracket and has
sold the following stocks in 2019: (Loss amounts should be
indicated by a minus sign.
Description
Date Purchased
Basis
Date Sold
Amount Realized
Stock A
1/23/1995
$
7,250
7/22/2019
$
4,500
Stock B
4/10/2019
14,000
9/13/2019
17,500
Stock C
8/23/2017
10,750
10/12/2019
15,300
Stock D
5/19/2009
5,230
10/12/2019
12,400
Stock E
8/20/2019
7,300
11/14/2019
3,500
c. What is Grayson’s overall net gain or loss
from these transactions?
d....
Grayson (single) is in the 24 percent tax rate bracket and has sold the following stocks...
Grayson (single) is in the 24 percent tax rate bracket and has
sold the following stocks in 2019: (Loss amounts should be
indicated by a minus sign.)
Description
Date Purchased
Basis
Date Sold
Amount Realized
Stock A
1/23/1995
$
7,950
7/22/2019
$
5,060
Stock B
4/10/2019
15,400
9/13/2019
19,210
Stock C
8/23/2017
12,500
10/12/2019
17,680
Stock D
5/19/2009
5,790
10/12/2019
13,450
Stock E
8/20/2019
7,790
11/14/2019
3,850
a. What is Grayson’s net short-term capital
gain or loss from these transactions?...
Grayson (single) is in the 24 percent tax rate bracket and has sold the following stocks...
Grayson (single) is in the 24 percent tax rate bracket and has
sold the following stocks in 2020: (Loss amounts should be
indicated by a minus sign.)
Description
Date Purchased
Basis
Date Sold
Amount Realized
Stock A
1/23/1996
$
8,000
7/22/2020
$
5,100
Stock B
4/10/2020
15,500
9/13/2020
19,330
Stock C
8/23/2018
12,625
10/12/2020
17,850
Stock D
5/19/2010
5,830
10/12/2020
13,525
Stock E
8/20/2020
7,825
11/14/2020
3,875
Problem 7-46 Part-a (Algo)
a. What is Grayson’s net short-term capital
gain or...
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