Rick Recently Received 500 Shares of Restricted Stock from His

question 31

Essay

Rick recently received 500 shares of restricted stock from his employer,Crazy Corporation,when the share price was $5 per share.Rick's restricted shares vested three years later when the market price was $12.Rick held the shares for a little more than a year and sold them when the market price was $15.What is the amount of Rick's gain on the sale of the stock? Assuming a marginal tax rate of 39.6 percent,what is Rick's tax on the sale of the stock?

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Definitions:

Behavioral Teratogens

Substances or factors that can cause abnormal development or birth defects through their influence on fetal behavior.

Polygenic

Polygenic refers to a trait or condition that is influenced by multiple genes, often resulting in a continuous range of possible phenotypes.

Dominant-recessive Genes

A genetic principle where dominant genes override the characteristics of recessive genes, resulting in the expression of dominant traits in offspring.

Phenotype

The set of observable characteristics or traits of an organism resulting from the interaction of its genotype with the environment.