Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. tikka thinks that the value of tim, inc's shares w

Tikka thinks that the value of Tim, Inc's shares will decline in 2 months, so...

60.1K

Verified Solution

Question

Accounting

Tikka thinks that the value of Tim, Inc's shares will decline in 2 months, so he decides to borrow 1,000 shares from his broker to sell that must be replaced in 90 days. If the orginal 1000 shares were sold for $50000, and Tikka buys 1000 replacement shares for 70000, what statement is correct?

a/ A long term capital gain of $20k

b/ A short term capital gain of $20k

c/ A short term capital loss of $20k

d/ None of them are correct

e/ A long term capital loss of $20k

Answer & Explanation Solved by verified expert
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

Other questions asked by students

Chemistry
1.2K views

1,All of the following are true concerning nuclear fission except a) Uranium is typically split into smaller...

Physics
1.2K views

Objects that move in a straight line with a constant speed—not speeding up or slowing down—have...

General Management
1.2K views

Why is an accurate situation analysis critical for a successful public relations campaign? Describe the relationship...

Basic Math
1.2K views

Let f 4 5 7 7 11 13 be a bijection Which of the following...

Calculus
1.2K views

ind all vertical asymptotes of the given function 9 16 g x 2 25 A...

Accounting
1.2K views

Intel Q2 (ticker: INTC): The last three years Intel paid close to $34B as dividends...

Accounting
1.2K views

In your own words write and discuses the components of the accounting equation and its...

Accounting
1.2K views

Dr. Hu owns 1,008 shares of EVKars Ltd. They have an ACB of $32 a...

Accounting
1.2K views

Selected sales and operating data for three divisions of different structural engineering firms are given...

Accounting
1.2K views

REQUIRED Use the information provided below to prepare the following for January and February 2024:...

Accounting
1.2K views

On April 1, Jiro Nozomi created a new travel agency, Adventure Travel. The following transactions...

Accounting
1.2K views

Santana Rey created Business Solutions on October 1, 2021. The company has been successful, and...