Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Suppose Mr. Bezos invested $1,000,000 in Amazon shares in 2001. These same shares are now worth $120,000,000,000. If he received no dividends and did not

Suppose Mr. Bezos invested $1,000,000 in Amazon shares in 2001. These same shares are now worth $120,000,000,000. If he received no dividends and did not sell any of the shares, the amount of personal taxes paid over the past 19 years on the 2001 investment is? (Assume the capital gains tax rate is 35%)

Question 5 options:

A

Zero.

B

35% of $120,000,000,000.

C

35% of $119,999,000,000 ($120,000,000,000 - $1,000,000).

D

35% of $1,000,000.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Intermediate Financial Management

Authors: Eugene F Brigham, Phillip R Daves

9th Edition

032431986X, 9780324319866

More Books

Students also viewed these Finance questions

Question

=+2. Why does the brand want to advertise?

Answered: 1 week ago