Question

Chris bought 10 shares of Apex Company for $25 each, and later sold all of them at $45 each. This transaction resulted in what type of event?

A). Capital Loss
B). Capital Profit
C). Capital Gain
D). Capital Win

Answer 1

The correct answer is the option C: Capital Gain.

Step-by-step explanation:

Capital Gain is the name given, in the field of finances, to the concept that refers to the amount of money in the form of a profit that a person receives from the action of selling a capital asset after this one increased its value obtaining a higher worth than the purchase price and whose ''gain'' is in the difference of such situation, that is, the situation where the sale price is higher that the original purchase price.