Euclid bought 500 shares of common stock five years ago for $50,000. This year, Euclid...
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Accounting
Euclid bought 500 shares of common stock five years ago for $50,000. This year, Euclid receives preferred stock dividend of 20 shares. The preferred stock has a fair market value of $5,000, and the common stock, on which the preferred is distributed, has a fair market value of $75,000. What is Euclid's basis per share after this event on preferred stock?
$50,000
$156
$46,875
$94
$3,125
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