Reference no: EM13123260
Decker Corporation purchased 1,000 shares of Kent common stock at $75 per share plus $3,000 brokerage fees as a short-term investment. The shares were subsequently sold at $80 per share less $3,400 brokerage fees. The cost of the securities purchased and gain or loss on the sale were:
a. $75,000 cost, 5,000 gain
b. $75,000 cost, 1,400 loss
c. $78,000 cost, 2,000 gain
d. $78,000 cost, 1,400 loss
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: Decker Corporation purchased 1,000 shares of Kent common stock at $75 per share plus $3,000 brokerage fees as a short-term investment. The shares were subsequently sold at $80 per share less $3,400 brokerage fees.
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