1. Cory recently sold his qualified small business stock for $96,000 after holding it for 10 years. His basis in the stock is $34,000. Applying the rules as if the stock were acquired in 2022 and assuming his marginal tax rate is 32 percent, how much tax will he owe on the sale? Multiple Choice

a. $4,650

b. $8,680

c. $9,300

d. $17,360

e. None of the choices are correct.

2. In the current year, Erin had the following capital gains (losses) from the sale of her investments: $2,200 LTCG, $24,800 STCG, ($9,200) LTCL, and ($15,200) STCL. What is the amount and nature of Erin's capital gains and losses? Multiple Choice

a. $2,600 net short-term capital gain.

b. $2,600 net long-term capital loss.

c. $3,800 net short-term capital gain.

d. $3,800 net long-term capital loss.

e. None of the choices are correct.

3. In the current year, Norris, an individual, has $55,000 of ordinary income, a net short-term capital loss (NSTCL) of $9,500 and a net long-term capital gain (NLTCG) of $3,300. From his capital gains and losses, Norris reports: Multiple Choice

a. an offset against ordinary income of $9,500.

b. an offset against ordinary income of $3,000 and an NSTCL carryforward of $6,500.

c. an offset against ordinary income of $3,300 and an NSTCL carryforward of $6,200.

d. an offset against ordinary income of $3,000 and an NSTCL carryforward of $6,200.

e. an offset against ordinary income of $3,000 and an NSTCL carryforward of $3,200.

4. Ms. Fresh bought 1,000 shares of Ibis Corporation stock for $7,000 on January 15, 2019. On December 31, 2022, she sold all 1,000 shares of her Ibis stock for $5,500. Based on a hot tip from her friend, she bought 1,000 shares of Ibis stock on January 23, 2023, for $3,500. What is Ms. Fresh's recognized loss on her 2022 sale, and what is her basis in her 1,000 shares purchased in 2023? Multiple Choice

a. $0 LTCL and $5,000 basis

b. $600 LTCL and $4,400 basis

c. $900 LTCL and $4,100 basis

d. $1,200 LTCL and $3,800 basis

e. $1,500 LTCL and $3,500 basis

5. Kevin bought 265 shares of Intel stock on January 1, 2022, for $76 per share, with a brokerage fee of $165. Then, Kevin sells all 265 shares for $88 per share on December 12, 2022. The brokerage fee on the sale was $215. What is the amount of the gain/loss Kevin must report on his 2022 tax return? Multiple Choice

a. $2,420

b. $2,800

c. $3,180

d. $3,560

e. None of the choices are correct