Steve Gifted Shares in a Public Corporation Which Cost $10,000

question 2

Multiple Choice

Steve gifted shares in a public corporation which cost $10,000 to his fifteen year old son, Simon. During the year, Simon received $500 in dividends. Simon then sold the shares for $12,000. Which of the following tax situations is true for Steve and Simon?

• A) Simon will have to claim the dividends and capital gain on his tax return.
• B) Simon will have to claim the dividends on his tax return and Steve will have to recognize the capital gain on his tax return.
• C) Steve will have to claim the dividends and a capital gain on his tax return.
• D) Steve will have to claim the dividends on his tax return and Simon will have to recognize the capital gain on his tax return.

Evaluate the implications of tort law on privacy and how certain actions can violate personal privacy.

Comprehend the significance of defamation law and the protections it offers against harm to reputation.

Familiarize with the concept of strict liability and its application in inherently dangerous activities.

Examine the concept of emotional distress in tort law and the criteria for its application.

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Definitions:

U.S. Dollars

The recognized monetary unit of the United States is represented by the symbol $.

Malaysian Ringgits

The currency of Malaysia, symbolized as RM, used for all financial transactions within the country.

U.S. Dollar Value

The worth of a good, service, or financial security denominated in terms of the United States dollar.

Norwegian Kroners

The official currency of Norway, symbolized as NOK.