4. John buys shares of stock in Acme Corp. on January 1, 2018 for $50. John dies...

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Accounting

4.           John buys shares of stock in Acme Corp. on January 1, 2018 for $50.John dies July 1, 2018 when the stock has a fmv of $60. Maryinherits the stock from John’s estate.         Mary sells thestock on September 1, 2018 for $80.
              a.           What is the gain /loss recognized by John’sestate?     ________
                             What is the character of the gain/loss? _
              b.           What is the gain /loss recognized byMary?      __
                             What is the character of the gain/loss? _
5.           Same facts as in Question 4 except the value of the shares is $40on John’s date of death.
              a.           What is the gain /loss recognized by John’sestate?     __
                             What is the character of the gain/loss? _
              b.           What is the gain /loss recognized byMary?      __
                             What is the character of the gain/loss? _
6.           Same facts as in Question 4 except Mary sells the stock for$30.
              a.           What is the gain /loss recognized by John’sestate?     __
                             What is the character of the gain/loss? _
              b.           What is gain /loss recognized byMary?      __
                             What is the character of the gain/loss? _
7.           Same facts as in Question 4 except Mary Sells the stock on May 1,2019.
              a.           What is the gain /loss recognized by John’sestate?     __
                             What is the character of the gain/loss? _
              b.           What is the gain /loss recognized byMary?
                             What is the character of the gain/loss? _____

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4 A What is the gain loss recognized by Johns estate Loss for 60 What is the character of the gainloss Short Term capital loss B What is the gain loss recognized by Mary Profit of 20 8060 What is the character of the gainloss Short Term Capital gain 5 A What is the gain loss See Answer

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