Tom Recently Received 2,000 Shares of Restricted Stock from His

question 100

Multiple Choice

Tom recently received 2,000 shares of restricted stock from his employer, Independence Corporation, when the share price was $10 per share. Tom's restricted shares vested three years later when the market price was $14. Tom held the shares for a little more than a year and sold them when the market price was $12. What is the amount of Tom's income or loss on the sale?

• A)$0
• B)$2,000 loss
• C)$4,000 gain
• D)$4,000 loss

---

Definitions:

Religious

Pertaining to or connected with a belief in a higher power or the practice of worship, devotion, and observance of faith traditions.

Farming Societies

Societies that are primarily engaged in agriculture, relying on the cultivation of plants and the raising of livestock for their livelihood.

Substantial Contribution

A significant addition or aid provided, which plays an important role in furthering a project, study, or field of knowledge.

Young Boys

Young boys refers to male children or adolescents, typically in the early stages of development prior to reaching puberty.