Fran bought stock in the FCM Corporation 4 years ago at a price of $18,000. She sold it this year for $22,500 and paid her broker $225 from the proceeds of the sale.
a. What is Fran's amount realized?
b. What is Fran's adjusted basis?
c. What is Fran's realized gain or loss?
d. What is Fran's recognized gain or loss?
e. How much of the gain or loss should be included in her tax return?

Question

Quizplus · Accepted Answer

The Answer of Fran bought stock in the FCM Corporation 4 years ago at a price of $18,000. She sold it this year for $22,500 and paid her broker $225 from the proceeds of the sale.
a. What is Fran's amount realized?
b. What is Fran's adjusted basis?
c. What is Fran's realized gain or loss?
d. What is Fran's recognized gain or loss?
e. How much of the gain or loss should be included in her tax return?

Fran Bought Stock in the FCM Corporation 4 Years Ago