Joy enjoys researching, buying, and selling stock. She purchased 500 shares of Up Inc. stock on March 13, Year 12 for $5,000. Unfortunately, Up Inc.s stock price took a downturn, so Joy sold her entire position on June 8, Year 12 for $2,000. She wanted to reestablish her position in the Up Inc. stock, so she repurchased 500 shares on July 3, Year 12 for $2,500.

A. What is Joys recognized capital loss from the sale of her Up Inc. shares?

B. What is her basis in the newly acquired stock?

C. When does her holding period in the newly acquired stock begin?