Pedro purchases 50 shares of Piper Company common stock on February 19, 2013, at a cost of

Question:

Pedro purchases 50 shares of Piper Company common stock on February 19, 2013, at a cost of $4,300. He sells the 50 shares on July 2, 2016, for $9,000. On March 14, 2016, Pedro purchases 100 shares of Troxel common stock for $9,700. He sells the Troxel shares on December 18, 2016, for $6,600. What is the effect of the stock sales on Pedro's 2016 income?

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...