ACC 2500 Chapter 14

Name: Scott Bender Assignment: Chapter 14 Question 42 (steps A-D Only) Class: ACC 2500 Question 42 a Calculation of gain Particulars Amount Given Basis 35000 Amount 95000 (-) Adjusted basis 35000 Realized Gain 60000 Recognized gain 60000 b Calculation of gain Particulars Amount Given Basis 19000 Amount 40000 (-) Adjusted basis 19000 Realized Gain 21000 Recognized gain 21000 c Calculation of loss Particulars Amount Given Basis 15000 Amount 9000 (-) Adjusted basis 15000 Realized Gain -6000 Recognized gain -6000 d Calculation of loss or gain Particulars Amount Given Basis 42000 FMV of stock 30000 Selling price 38000 Realized Gain -4000 Recognized gain 34000