Murphy Smith has the following stock transactions for 2017. Name Date Purchased Basis Date Sold Sales Proceeds Apex Corp. 1/23/1986 7,250 7/22/2017 4,500 Blue Corp. 4/20/2017 14,000 9/13/2017 17,500 Coral Corp. 8/23/2010 10,750 10/12/2017 15,300 Diamond...

80.2K

Verified Solution

Question

Accounting

Murphy Smith has the following stock transactions for 2017.
Name Date Purchased Basis Date Sold Sales Proceeds
Apex Corp. 1/23/1986 7,250 7/22/2017 4,500
Blue Corp. 4/20/2017 14,000 9/13/2017 17,500
Coral Corp. 8/23/2010 10,750 10/12/2017 15,300
Diamond Corp 5/19/2017 5,230 10/12/2017 12,400
Electric Corp. 8/20/2017 7,300 11/14/2017 3,500
Based on the information in above table, answer the followingquestions:
(a) What is Murphy’s net short-term capital gain or loss from thesetransactions?
(b) What is Murphy’s net long-term capital gain or loss from thesetransactions?
(c) What is Murphy’s net gain or loss from thesetransactions?
(d) Based on (a) through (c), complete Murphy’s Schedule D.
Please show calculations so I may better understand.PART D is the most important part. Please complete Murphy'sSchedule D

Answer & Explanation Solved by verified expert

3.9 Ratings (623 Votes)

a Shares which are purchased and sold within a year ie less than 12 months are short term capital gains Blue corpgainloss Sale Proceeds Basis 1750014000 3500i See Answer

Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:

Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!

Become a Member

Transcribed Image Text

Murphy Smith has the following stock transactions for 2017.NameDate PurchasedBasisDate SoldSales ProceedsApex Corp.1/23/19867,2507/22/20174,500Blue Corp.4/20/201714,0009/13/201717,500Coral Corp.8/23/201010,75010/12/201715,300Diamond Corp5/19/20175,23010/12/201712,400Electric Corp.8/20/20177,30011/14/20173,500Based on the information in above table, answer the followingquestions:(a) What is Murphy’s net short-term capital gain or loss from thesetransactions?(b) What is Murphy’s net long-term capital gain or loss from thesetransactions?(c) What is Murphy’s net gain or loss from thesetransactions?(d) Based on (a) through (c), complete Murphy’s Schedule D.Please show calculations so I may better understand.PART D is the most important part. Please complete Murphy'sSchedule D

Name	Date Purchased	Basis	Date Sold	Sales Proceeds
Apex Corp.	1/23/1986	7,250	7/22/2017	4,500
Blue Corp.	4/20/2017	14,000	9/13/2017	17,500
Coral Corp.	8/23/2010	10,750	10/12/2017	15,300
Diamond Corp	5/19/2017	5,230	10/12/2017	12,400
Electric Corp.	8/20/2017	7,300	11/14/2017	3,500