SOLUTION: Tom buys $20,000 worth of stock, and sells it eight months later for $28,000. If he is required to pay 15% capital gains tax on his profits, how much tax will he pay?

SOLUTION: Tom buys $20,000 worth of stock, and sells it eight months later for $28,000. If he is required to pay 15% capital gains tax on his profits, how much tax will he pay?

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Question 197228This question is from textbook
: Tom buys $20,000 worth of stock, and sells it eight months later for $28,000. If he is required to pay 15% capital gains tax on his profits, how much tax will he pay? This question is from textbook

Answer by Mathtut(3670) (Show Source): You can put this solution on YOUR website!
His Profit is 28000-20000=8000
:
15% is .15 in decimal form.....so tax is .15(8000)=$1200
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