After buying 200 shares of common stock in Epic Electronics for $20 per share, Rashad later sold the same shares for $25 per share. Rashad's capital gain on the total transaction is:

Question

Quizplus · Accepted Answer

A capital gain is the positive difference between the price at which Rashad bought the stock and the price at which he sold it. The capital gain per share is $5 ($25 - $20). Rashad's total capital gain is $1,000 ($5 x 200 shares).

After Buying 200 Shares of Common Stock in Epic Electronics