The Wash Sale Provisions Apply to Which of the Following

question 59

Multiple Choice

The wash sale provisions apply to which of the following?
I.Tom realizes an $8,000 loss on the June 17,2016,sale of 650 shares of Roadrunner Corporation common stock.He replaces the 650 shares with Hawke Inc.,stock on July 8,2016.
II.Rosie realizes a $6,000 loss on the December 29,2015,sale of 40 Billings corporate bonds.Each bond has a face value of $1,000.She replaces the Billings corporate bonds with 30 Redeemer corporate bonds,each with a face value of $1,000 on January 16,2016.The Redeemer bonds have the same interest rate,maturity date,but a different bond rating (AAA) as the Billings bonds.
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• A)​Only statement I is correct.
• B)​Only statement II is correct.
• C)​Both statements are correct.
• D)​Neither statement is correct.

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Definitions:

Day Shift

Typically, the work period during the daytime, often from morning to late afternoon, which can vary depending on the industry or company.

Unskilled Workers

Individuals who lack specific skills or qualifications and typically perform simple tasks that require limited training.

Skilled Workers

Individuals who have specialized training, experience, or education and are capable of performing specific tasks often requiring technical competency.

Wage Gap

The difference in earnings between two or more groups within the workforce, often defined by gender, race, or education level.