In 2001,Mrs

question 27

Multiple Choice

In 2001,Mrs.Qualley,contributed $100,000 in exchange for 1,000 shares of Little Corporation,which is a qualified small business.This year,Mrs.Qualley's only capital transaction was the sale of the 1,000 shares of Little qualified small business stock for $180,000.Compute Mrs.Qualley's income tax on her capital gain from this sale.

• A)$6,000
• B)$11,200
• C)$22,400
• D)None of the above.

---

Definitions:

Artificially Inflated

A condition where value, numbers, or effects are increased beyond their true or natural level, often due to intervention or manipulation.

Advertiser's Claim

A statement made by advertisers to promote the benefits or advantages of a product or service.

Average

A statistical measure representing the central or typical value in a set of data, calculated by dividing the sum of all values by the number of values.

Scatterplot

A type of graph used in statistics to display values for typically two variables for a set of data, showing the relationship between them.