Stock A was held for more than one year and stock B was held for less than one year. Tax rate on short-term capital gains is 30% and tax rate on long-term capital gains is 20%. What is the after-tax profit if the portfolio is sold today?

Consider the following information on two stocks in the portfolio:

Stock	Initial Value, $	Ending Value, $
A	50,000	55,000
B	50,000	45,000

Stock A was held for more than one year and stock B was held for less than one year. Tax rate on short-term capital gains is 30% and tax rate on long-term capital gains is 20%. What is the after-tax profit if the portfolio is sold today?

500

8,500

6,500

1,500

500

8,500

6,500

1,500