Mary knows that her 2016 personal income tax return will result in a large amount owing to CRA as she sold some shares and made a large gain. She purchased Apple shares for $3,000 in 2014 and sold them in 2016 for $8,000! What is her capital gain? What is the taxable capital gain that she must report?

(All amounts are in Canadian dollars).

Calculation of Marys capital gain (.25 mark):

Calculation of Marys taxable capital gain that she must report on line 127 of her tax return (.25 mark):