a) An individual in the 28 percent federal income tax bracket and 15 percent long-term capital gains tax bracket bought and sold the following securities during the year:

Cost Basis of Stock Proceeds of Sale ABC $24,500 $28,600 DEF 35,400 31,000 GHI 31,000 36,000 What are the taxes owed on the short-term capital gains?

b) An individual in the 35 percent federal income tax bracket and 15 percent long-term capital gains tax bracket bought and sold the following securities during the year:

Cost Basis of Stock Proceeds of Sale ABC $34,600 $28,600 DEF 29,400 31,000 GHI 21,500 19,000 What are the taxes owed or saved as a result of these sales?