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Question: helmut purchases 100 shares of stock in caisson corporation for...

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Helmut purchases 100 shares of stock in Caisson Corporation for $1,000 in Year 1. On December 1 of Year 2, he purchases an additional 100 shares in the company for $1,500. On December 28 of Year 2, Helmut sells the 100 shares acquainted in Year 1 for $1,200. What is Helmut’s recognized gain or loss from the December 28 sale, and what is his resulting basis in the stock purchased on December 1 of Year 2?

Recognized Gain or Loss on Sale

Resulting Basis in December 1 Purchase

a. $0 $1,800
b. $0 $1,200
c.

$300 loss

$1,200
d.

$200 gain

$1,500
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