a. Andrea purchased 200 shares of stock for $45 per share. During the year, she received dividend checks amounting to $180. Andrea recently sold the stock for $54 per share. What was Andrea's return on the stock?
b. Andrea is in a 25 percent tax bracket. What amount of taxes will she pay on her capital gain if she held the stock for less than a year?
c. How much would Andrea pay for tax if she held the stock for more than a year, assuming she sold it for the same amount? (Long term capital gain)
d. How much would Andrea save in taxes if she held the stock for more than a year, assuming she sold it for the same amount? (Savings)