Kevin bought 200 shares of Intel stock on January 1, 2017 for $50 per share with a brokerage fee of $100. Then, Kevin sells all 200 shares for $75 per share on December12, 2017. The brokerage fee on the sale was $150. What is the amount of the gain/lossKevin must report on his 2017 tax return?
A) $5,000
B) $4,750
C) $4,500
D) $5,250
E) None of the choices are correct.

Question

Quizplus · Accepted Answer

Kevin's gain is calculated as follows: (Selling price per share - Purchase price per share) * Number of shares - Total brokerage fees = ($75 - $50) * 200 - ($100 + $150) = $5,000 - $250 = $4,750.

Kevin Bought 200 Shares of Intel Stock on January 1