Omar Has the Following Stock Transactions During 2015: Stock Date

question 8

Essay

Omar has the following stock transactions during 2015: Stock Date purchased Number of shares sold Number of shares Basis Selling price Orange 1/2013 100 $1,000 Blue 6/2013 200 3,000 Yellow 4/2014 50 1,250 Blue 2/2015 150 1,800 Yellow 3/2015 175 5,250 Blue 7/2015 250 $3,500 Yellow 11/2015 200 7,200 ​
a.​
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What is Omar's recognized gain or loss on the stock sales if his objective is to minimize the recognized gain and to maximize the recognized loss?
b.What is Omar's recognized gain or loss if he does not identify the shares sold?
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Definitions:

U.S. Dollar

The currency unit of the United States, widely used globally in international trade and as a reserve currency.

Foreign Exchange

The exchange of one currency for another or the global market where currencies are traded.

Exchange Rate

The value of one currency for the purpose of conversion to another currency.

Foreign Currency

Refers to the money or legal tender issued by a country that is not one's own, used to conduct transactions in foreign countries.