Jeff owns 250 shares of Coca Cola common stock that have increased in value by $15 each.He must report the increase in income because a transaction has occurred.

Question

Quizplus · Accepted Answer

The increase in value of Jeff's Coca Cola shares is considered an unrealized gain, which does not require reporting as income since no actual transaction (such as selling the shares) has occurred.

Jeff Owns 250 Shares of Coca Cola Common Stock That