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Mathematics, 17.11.2020 03:40 AndiLizzi

Tanya acquired 1,000 shares of stock in Swan Corporation seven years ago for $100 a share. In the current year, Swan Corporation redeems half of her shares for $160,000. Assume Tanya has no other transactions this year involving capital assets. If this is a non-qualifying redemption, which of the following is correct after the redemption?
a Tonya reports dividend income of $160,000; Tonya has the same total basis in her stock and her basis per share remains $100 each.
b Tonya reports dividend income of $160,000; Tonya has the same total basis in her stock but her basis per share is $200 each.
c Tonya reports capital gain income of $110,000; Tonya has the same total basis in her stock and her basis per share remains $100 each.
d Tonya reports capital gain income of $110,000; Tonya has remaining basis of $50,000 and her per share basis remains $100 each

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Tanya acquired 1,000 shares of stock in Swan Corporation seven years ago for $100 a share. In the cu...

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