Respuesta :
Answer:
A. Capital loss.
B. Capital loss = 2.69%
Step-by-step explanation:
We have been given that Alcoa bought 50 shares at $10.02 yesterday. Today the share is at $9.75.
Let us find change in share's value.
[tex]\text{Change in share's value }=\text{Final value-Initial value}[/tex]
[tex]\text{Change in share's value }=\$9.75-10.02[/tex]
[tex]\text{Change in share's value }=-\$0.27[/tex]
Since the value of share decreased $0.27, therefore, we will have a capital loss.
Let us find the purchase price and revenue generated from selling 50 shares.
[tex]\text{Purchasing cost of 50 shares}=50\times 10.02[/tex]
[tex]\text{Purchasing cost of 50 shares}=501[/tex]
So the purchasing cost of 50 shares will be $501.
[tex]\text{Revenue generated from selling 50 shares}=50\times 9.75[/tex]
[tex]\text{Revenue generated from selling 50 shares}=487.5[/tex]
So, after selling our 50 shares we will get $487.5.
We will use percentage change formula to find our loss percent.
[tex]\text{Percentage change}=\frac{\text{Final value - Original value}}{\text{Original value}}\times 100[/tex]
[tex]\text{Percentage change}=\frac{487.5-501}{501}\times 100[/tex]
[tex]\text{Percentage change}=\frac{-13.5}{501}\times 100[/tex]
[tex]\text{Percentage change}=-0.0269461\times 100[/tex]
[tex]\text{Percentage change}=-02.69461\%[/tex]
As we are getting a negative percentage, therefore, we have a capital loss of 2.69%.
