Calculate an individual's tax liability if a stock purchase was $500,000 and after a year the value of the stock was $600,000.

The ordinary income tax rate for the person is 24% and the long term capital gains rate is 20%.

	a.	The stock was held for a year so the capital gains tax applies. The capital gain was $100,000 @20% = $20,000
	b.	There is no tax because the value of the stock went up but the stock wasn't sold. The gain was not "realized."
	c.	The individual has to pay 24% of the value of the stock whenever it's sold. The tax will be $600,000 @24% = $144,000 sometime in the future.
	d.	The stock was held for a year but the individual has salary income as well so the tax rate is 24%. $100,000 @24% = $24,000