Answer: Gwen should report a $3,000 long-term capital gain in her income tax return.
In this question the price paid by Gwen’s mother for the shares is irrelevant because of her death.
The stock’s fair market value ($20) when Gwen inherited the shares (21st October 2015) is Gwen stepped up value.
Gwen’s gain from selling the shares is:
Gwen inherited the shares on (21st October 2015) and held the shares until (3rd july 2017), so she held the shares for more than one year after inheriting it. So, she will report a long-term capital gain on her income tax return.
Answer:
Kindly check explanation
Explanation:
Given
Probability of success, p = 0.9
Number of trials = sample size, n = 15
q = 1 - p
The binomial formula for this situation is written as :
P(x = x) = nCx * p^x * q^(n-x)
P(x = x) = 15Cx * 0.9^x * (1-0.9)^(15-x)
(1) For ; P(x ≤ 13).
P(x = 0) + p(x = 1) +... + p(x = 13)
Using a calculator :
P(x ≤ 13) = 0.451 (3 decimal place)
(2) For ; P(x > 10).
Using calculator :
P(x > 10) = p(x = 11) + p(x = 12) +... + p(x = 15)
P(x > 10) = 0.9873
(3) For P(x ≥ 14).
Using calculator ;
P(x ≥ 14) = [p(x = 14) + p(x = 15)]
P(x ≥ 14) = 0.5490
(4) P(9 ≤ x ≤ 12).
P(9 ≤ x ≤ 12) = p(x = 9) + p(x = 10) + p(x = 11) + p(x = 12)
P(9 ≤ x ≤ 12) = (0.001939 + 0.01047 + 0.042835 + 0.128505) = 0.1837
(5) For P(x ≤ 9) ;
Using calculator ;
P(x ≤ 9) = p(x = 0) + p(x = 1) +... + p(x = 9)
P(x ≤ 9) = 0.00225
Answer:
b.1.07
Explanation:
Investment turnover ratio determines the times when the portfolio of investment is sold during a particular period of time e.g Monthly, Annually, etc. The higher turnover results in more commission earned by the broker who is selling the portfolio.
Investment Turnover = Sales / Invested Assets
Investment Turnover = $1,228,000, / $1,150,000
Investment Turnover = 1.067826
Investment Turnover = 1.07 ( Rounded off to 2 decimals places )
The correct answer is A. knows they will need cash in the near future. That would be the most logical answer for an investment with more liquidity. I also just took the quiz and this answer was correct.