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In mid-September, Bubba sells one XYZ February 50 call at $6. It subsequently expires without being
exercised. How is the premium taxed?
A. the $600 premium is a capital gain
B. Bubba's cost of the underlying stock is reduced
C. the $600 premium is rolled over into another XYZ call with the next longest expiration date.
D. the $600 premium constitutes ordinary income
Answer: A
Explanation:
the $600 premium is capital gain. That's simply how the tax law works.
NEW QUESTION: 2
Which answer correctly orders the following AP boot processes as they occur?
a.AP Transfers OS from controller
b.AP builds GRE tunnel to the controller
c.AP determines IP address of the controller
d.AP Radio is enabled
A. b, d, a, c.
B. a, b, c, d.
C. a, c, d, b.
D. c, b, a, d.
E. c, a, b, d.
Answer: E
NEW QUESTION: 3
Refer to the exhibit.
What does placeholder 'A' in the EMC Data Protection Advisor (DPA) architecture diagram illustrate?
A. REST API
B. Service Commands
C. Message Bus
D. Services
Answer: A
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