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nalin [4]
4 years ago
5

Ms. Fresh bought 1,000 shares of Ibis Corporation stock for $5,400 on January 15, 2017. On December 31, 2019, she sold all 1,000

shares of her Ibis stock for $4,700. Based on a hot tip from her friend, she bought 1,000 shares of Ibis stock on January 23, 2020, for $3,100.
a. What is Ms. Fresh's recognized loss on her 2019 sale.
b. What is her basis in her 1,000 shares purchased in 2020
Business
1 answer:
Setler [38]4 years ago
3 0
Her loss is her loss
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In absorption costing, the cost of every unit produced is worked out by adding up the direct cost of materials, direct labor, variable overhead, and the fixed overhead. Unlike in the case of marginal costing where the fixed cost is treated as period cost, in absorption costing, fixed cost is treated as a product cost.

The cost per unit

                                         $

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