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NEW QUESTION: 1
Tex Payor purchased 1,000 shares of Stocks4U, a mutual fund with a 5% front-end load, on February
26th.The fund's net asset value on that date was $30.40 and its offer price was $32.Tex sold his shares on March 15th of the following year for $45 a share.
What were the tax consequences for Tex?
A. Tex must pay taxes on $13,000, which will be taxed at a preferential long-term capital gain rate under current tax law.
B. Tex must pay taxes on $45,000, which will be taxed at a preferential long -term capital gain rate under current tax law.
C. Tex must pay taxes on $14,600, which will be taxed as ordinary income at Tex's marginal tax rate.
D. Tex must pay taxes on $14,600, which will be taxed at a preferential long-term capital gain rate under current tax law.
Answer: A
Explanation:
Explanation/Reference:
Explanation: If Tex purchased 1,000 shares of Stocks4U at its offer price of $32 on February 26th, and sold his shares the following year on March15th for $45 a share, he must pay taxes on $13,000, which will be taxed at a preferential long-term capital gain rate under current tax law.
Tex's gain is calculated based on the price he paid for the shares, which included the front -end load, or
$32. Since he sold the shares for $45, his gain was $13 a share, or $13,000 for his 1,000 shares. His holding period began the day after his purchase, or February 27th, and ended on the day he sold his shares on March 15th. Since this is longer than twelve months, his gain will be taxed at a preferential long- term capital gain rate under current tax law.
NEW QUESTION: 2
After your city implemented a municipal Wi-Fi network using 802.11g on channels 1, 6, and 11 near your office, your users have been complaining about poor performance on their 802.11b VoWiFi phones. The best solution for optimizing your 802.11a/g network to support VoWiFi in this scenario is to
_____________.
A. Buy new 5 GHz capable VoWiFi phones.
B. Configure your VoWiFi phones for unused 2.4 GHz channels.
C. Buy new phones that support WPA2-Personal security.
D. Upgrade your VoWiFi phones to 802.11g.
Answer: A
NEW QUESTION: 3
By default, how often are Bridge Protocol Data Units (BPDUs) sent with reference to 802.1w?
A. every 15 seconds
B. every 5 seconds
C. every 2 seconds
D. every 30 seconds
Answer: C
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