Abner Gives His Daughter,Melissa,stock (Basis of $50,000;fair Market Value of $44,000).No

question 172

Multiple Choice

Abner gives his daughter,Melissa,stock (basis of $50,000;fair market value of $44,000) .No gift tax is paid.If Melissa subsequently sells the stock for $53,000,what is her recognized gain or loss?

• A)$0.
• B)$3,000.
• C)$9,000.
• D)$53,000.
• E)None of the above.

Understand the concept of utility functions and how they represent preferences in economics.

Learn how to construct and interpret Edgeworth boxes for various economic scenarios.

Identify Pareto optimal allocations and understand the conditions under which they occur.

Analyze the impact of initial allocations on the determination of competitive equilibrium prices and consumptions.

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