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NEW QUESTION: 1
Allen owns 100 shares of Prime Corp., a publicly-traded company, which Allen purchased on January
1, 2001, for $10,000. On January 1, 2003, Prime declared a 2-for-1 stock split when the fair market value (FMV) of the stock was $120 per share. Immediately following the split, the FMV of Prime stock was $62 per share. On February 1, 2003, Allen had his broker specifically sell the 100 shares of Prime stock received in the split when the FMV of the stock was $65 per share. What amount should Allen recognize as long-term capital gain income on his Form 1040, U.S. Individual Income Tax Return, for
2003?
A. $2,000
B. $300
C. $750
D. $1,500
Answer: D
Explanation:
Explanation
Choice "c" is correct. The receipt of a nontaxable stock dividend will require the shareholder to spread the basis of his original shares over both the original shares and the new shares received, resulting in the same total basis but a lower basis per share of stock helD. Therefore, Allen's total basis remains the same, $10,000, but is now split between 200 shares (a 2-for-1 split and he originally owned 100 shares).
Therefore, his basis per share goes from $100/share ($10,000/100) to $50/share ($10,000/200).
Consequently, his basis in the 100 shares sold is 100 x $50 = $5,000. Calculate his gain as follows:

Choices "a", "b", and "d" are incorrect.

NEW QUESTION: 2
VPC에는 두 개의 배치 그룹이 있습니다. 두 배치 그룹간에 어떤 통신 속도가 예상됩니까?
정답을 선택하십시오.
A. 10Gbps
B. 두 배치 그룹간에 통신 할 수 없습니다.
C. 20Gbps
D. 5Gbps
Answer: D
Explanation:
5Gbps is the maximum speed for traffic outside of a placement group.

NEW QUESTION: 3
Which two statements are true about the duplexing of the backups taken by RMAN?
A. It is not supported for backup operations that produce image copies
B. It's only supported for the backups performed on the tape
C. Duplex backups need a parallelism for the device to be equal to number of copies
D. Duplex backups can be performed to either disk or tape, but cannot be performed on tape and disk simultaneously
Answer: A,D