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Emily bought 5 0 shares of stock in Year 1 for $ 5 0 0 . In Year 2 , she received a return of

Emily bought 50 shares of stock in Year 1
for $500. In Year 2, she received a return of
capital of $100. She received an additional
return of capital of $50 in Year 3. What must
Emily report as long-term capital gain on her
tax return for Year 3?
A. $150
B. $50
C. $100
D. $0
Joan owned stock in W Corporation, which
has a dividend reinvestment plan. Joan decided
to participate in the plan, and during the current
year the corporation paid dividends. The plan
allowed Joan to use her $3,000 dividend to buy
30 additional shares of stock at $100 per share
when the fair market value of the stock was
$130 per share. How much dividend income
must Joan report on her current-year income
tax return?
A. $3,900
B. $3,000
C. $900
D. $0
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