Lucia Owns 100 Shares of Cronco Inc

question 118

Multiple Choice

Lucia owns 100 shares of Cronco Inc.which she purchased on December 1 of last year for $10,000.The stock is not Sec.1244 stock.On July 1 of the current year,Lucia receives notice from the bankruptcy court that Conco Inc.has been liquidated,and there are no assets remaining for shareholders.As a result,Lucia will have

• A)a short-term capital loss of $10,000.
• B)a long-term capital loss of $10,000.
• C)an ordinary loss of $10,000.
• D)no loss allowed.

---

Definitions:

Higher Education Expenses

Costs related to attending a post-secondary educational institution, including tuition, fees, books, and supplies, which may qualify for tax credits or deductions.

Pre-Move House Hunting

This refers to the process of searching for a new home prior to relocating, often conducted to ensure housing is secured before the move.

Moving Expense

refers to costs incurred for relocating for work purposes, such as transportation and storage of household goods, which under certain conditions, may be deductible.

Lodging

Accommodation provided in a temporary living situation, often associated with hotels, motels, and other temporary housing.