Tax and explanations too please.

Capital Recovery Concept (LO.5) in each of the following situations. If any changes are made in the original basis of the asset, why are they necessary If an amount is zero, enter "0". a. Simone purchases 280 shares of wiiguess, Inc., stock in 2016 for $5,880. In 2016 and 2017, wiguess pays cash dividends of $3 per share. In 2018, wiiguess pays a 40% stock dividend (nontaxable), and Simone receives an additional 112 shares of stock. The receipt of the cash dividend is taxable and Simone's basis in the stock after the cash dividend is The receipt of the stock dividend is nontaxable and Simone's basis in the stock after the stock dividend is