Troy received a gift of 100 shares of stock from his grandmother on July 1 of the current year. Troy's grandmother had owned the

Question

3 years ago

10

Troy received a gift of 100 shares of stock from his grandmother on July 1 of the current year. Troy's grandmother had owned the

stock for 15 years and had a basis of $14 per share. On July 1, the date of the gift, the stock was selling for $39 per share. What is Troy's basis in the stock?

Mathematics

1 answer:

kumpel [21] · Answer 1 · 2021-12-12T01:10:08+03:00

Troy has a basis of $39 per share

total value of shares is $3900

Step-by-step explanation:

On July 1, the date of the gift, the stock was selling for $39 per share.

Troy's basis in the stock = current value of shares

No need to consider the base rate which is in 15 years ago

The current rate of 100 shares = $39 × 100 = $3900

Troy has a basis of $39 per share

total value of shares is $3900