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Joe Mullen purchased 100 shares of Excellsior Corp at a price of $15 per share. One year later, Joe sold the shares at $20 each.

Joe Mullen purchased 100 shares of Excellsior Corp at a price of $15 per share. One year later, Joe sold the shares at $20 each. Calculate the amount of federal income tax that Joe must pay on the capital gains, given that he is in the 26% federal marginal tax bracket.

Select one:

a. $130

b. Zero

c. $65

d. $115

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