Question

If Nicki purchases 100 shares of stock for $35 per share and sells them at $40 per share, what will be her capital gain?

Answer 1

Her capital gain would be $500

Explanation:

1. First, calculate how much she bought them for, aka the original cost

100(35) = 3,500

2. Then, calculate how much she sold them for

100(40) = 4,000

3. Now subtract the selling value - original cost

4,000-3,500 = 500

hope this helped!