1. John bought 1,900 shares of Intel stock on October 18, 2016, for $48 per share plus a $750 commission he paid to his broker. On December 12, 2020, he sells the shares for $69.50 per share. He also incurs a $1,000 fee for this transaction.

A. What is Johns adjusted basis in the 1,900 shares of Intel stock?

B. What amount does John realize when he sells the 1,900 shares?\

C1. What is the gain/loss for John on the sale of his Intel stock?

*** Next Question.

2. Sue has 5,500 shares of Sony stock that have an adjusted basis of $35,750. She sold the 5,500 shares of stock for cash of $16,500, and she also received a piece of land as part of the proceeds. The land was valued at $22,500 and had an adjusted basis to the buyer of $13,500.

What is Sue's gain or loss on the sale of 5,500 shares of Sony stock?

3.

Required information

[The following information applies to the questions displayed below.]

George bought the following amounts of Stock A over the years: (Loss amounts should be indicated with a minus sign.)

	Date Purchased	Number of Shares	Adjusted Basis
Stock A	11/21/1994	1,200	$	28,800
Stock A	3/18/2000	600		10,800
Stock A	5/22/2009	950		34,200

On October 12, 2020, he sold 1,500 of his shares of Stock A for $38 per share.

a. How much gain/loss will George have to recognize if he uses the FIFO method of accounting for the shares sold?

b. How much gain/loss will George have to recognize if he specifically identifies the shares to be sold by telling his broker to sell all 950 shares from the 5/22/2009 purchase and 550 shares from the 11/21/1994 purchase?

3.

Required information

[The following information applies to the questions displayed below.]

Three years ago, Adrian purchased 580 shares of stock in X Corp. for $59,740. On December 30 of year 4, Adrian sells the 580 shares for $53,940. (Leave no answers blank. Enter zero if applicable. Loss amounts should be indicated with a minus sign.)

a. Assuming Adrian has no other capital gains or losses, how much of the loss is Adrian able to deduct on her year 4 tax return?

b. Assuming Adrian has no other capital gains or losses, except that on January 20 of year 5, Adrian purchases 580 shares of X Corp. stock for $53,940. How much loss from the sale on December 30 of year 4 is deductible on Adrians year 4 tax return? What basis does Adrian take in the stock purchased on January 20 of year 5?

Deductible Loss
Basis