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13 March, 15:43

Roberta's brokerage account contains 10 stocks. She has held five of those stocks for over two years, and she purchased the other five stocks in the last six months. All the stocks have risen in value, so she decides to sell one to purchase a car. To receive the best tax treatment for the sale, which stock should Roberta sell?

A. Long - and short-term gains are taxed the same, so it doesn't matter which stock she sells.

B. She should sell one of the stocks that she's held for over two years because long-term gains receive preferential tax treatment.

C. She should sell stocks from each group because long-term gains can be used to offset short-term gains.

D. It doesn't matter because preferential tax rates apply only to stocks held for over three years.

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Answers (1)
  1. 13 March, 18:01
    0
    Answer: b

    Explanation: took the test
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