Miller, an individual calendar-year taxpayer, purchased 100 shares of Maples Inc. common stock for $10,000 on July 10, 2015., and an additional fifty shares of Maples Inc. common stock for $4,000 on December 24, 2014. On January 8 2015, Miller sold the 100 shares purchased on July 10, 2014 for $7,000. What is the amount of Miller's recognized loss for 2015 and what is the basis for her remaining fifty shares of Maples Inc. stock?
a. $3,000 recognized loss; $4,000 basis for her remaining stock.
b. $1,500 recognized loss; $5,500 basis for her remaining stock.
c. $1,500 recognized loss; $4,000 basis for her remaining stock.
d. $0 recognized loss; $7,000 basis for her remaining stock.
Answer: B
Tax
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