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Cecelia brought a stock five years ago for $3,400. She sold it this year for $4,100. How much capital gain will she be required to pay taxes on?

Respuesta :

Given:

Purchasing price of stock = $3400

Selling price of stock = $4100

To find:

The capital gain.

Solution:

We know that, assets increase their values with respect to time and capital gain is the profit earned on sale of those assets.

Capital gain = Selling price - Purchasing price

                    = $4100 - $3400

                    = $700

Therefore, the capital gain is $700.