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Business, 23.07.2019 02:30 tra80

Ms. pear owned 1,000 shares of xyz corporation which she had purchased in year 1 at a cost of $12 per share. in year 3, she received a nontaxable 20% stock dividend. the shares were identical to those she already held. she ended the year owning 1,200 shares. in year 5, the stock split 2 for 1 which increased her holdings to 2,400 shares at the end of the year. in year 8, she sold 400 shares. what was her basis in the 400 shares of stock sold?

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