Answer:
$500 short-term capital gain
Explanation:
Henrietta's gain = selling price - stock's basis = $13,500 - $13,000 = $500
Since Henrietta received the stocks on June 1, 2015, and sold them on January 1, 2016, only 7 months had passed, therefore, this transaction would be considered a short term capital gain.
When a gift is sold (in this case the stocks), a taxpayer can use the basis for computing gains. If the stocks were sold at a loss, Henrietta should use the lower value (at the moment of the gift) to determine her loss.
The type of securities that are most susceptible to business risk is common stock (option b).
<h3>What is business risk?</h3>
Business risk is the risk that a business would fail and be unable to meet its obligations. Business risk is an example of non-systematic risk which can be eliminated by diversifying a portfolio.
When a business goes bankrupt, the common stockholders lose the amount invested in the business. On the other hand, bondholders are paid from the proceeds of the liquidated assets.
To learn more about business risks, please check: brainly.com/question/14125662
#SPJ1
I think it is collected by the federal government but i am not sure.
Hope this helps! :)
So, the interest rate will be undefined, we'll name the variable n.
4n(3000) = 510
(The 4 in the equation represents 4 years)
Multiply:
12000n = 510
We'll divide 510 by 12000:
n = 0.0425
The annual interest rate is 4.25%