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What is toms dividend income and basis in the new shares

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Tom owns 100 shares of common stock of Grow Company, which he acquired in 2015 for $22,000 ($220 per share). On March 1, 2018, Grow Company's board of directors declared a proportionate 10% stock dividend to all common stock shareholders effective May 15, 2018. Tom received 10 shares of common stock on May 15, 2018 when the shares were trading at $300 per share. What is Tom's dividend income and basis in the new shares?

Reference no: EM132406584

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