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NEW QUESTION: 1
Sarah Slick is kicking herself for having bought the stock of Bounce, Inc.at a higher price than she needed
to have paid. She bought it at $50 a share on November 20th and watched its price drop during December.
Ms. Slick is confident that Bounce's stock price will bounce back (pun intended), but she decides that in
the meantime, she will sell her shares and use the realized capital loss to offset some of the capital
gains she has realized on other investments during the year. Thus, on December 30th, she sells her
shares of Bounce for $40 a share. During the first couple weeks of the new year, Sarah observes
Bounce's price creeping upward, and she buys the same number of shares she previously sold for $45 a
share on January 18th. Given this scenario, which of the following statements is true?
A. Because Sarah did not wait the requisite 30 days after her sale of Bounce shares to repurchase them,
she cannot deduct her realized capital loss of $10 a share when calculating her taxes for that tax year.
B. Because Sarah waited the requisite 30 days after purchase before selling her shares in Bounce, she
can deduct her realized capital loss of $10 a share when calculating her taxes for that tax year.
C. The SEC may file civil charges against Sarah for engaging in an illegal "wash sale."
D. Although Sarah did not wait the requisite 30 days after her sale of Bounce shares to repurchase them,
she can still deduct her realized capital loss of $10 a share when calculating her taxes for that tax year
since her repurchase of the shares didn't occur until the following tax year.
Answer: A
Explanation:
If Sarah repurchases Bounce Stock on January 18th for $45 a share after selling it on
December 30th for $40 a share, she did not wait the requisite 30 days after her sale of Bounce shares to
repurchase them and cannot deduct her realized capital loss of $10 a share when calculating her taxes for
that tax year. It doesn't matter that the repurchase occurred in the next tax year or that she waited the
requisite number of days after she purchased the shares before selling them. This is not an example of an
illegal "wash sale," so the SEC won't be filing any charges against Sarah.

NEW QUESTION: 2
The MPLS architecture consists of a Control Plane and a Forwarding Plane. The forwarding plane mainly performs label switching and packet forwarding.
A. False
B. True
Answer: B

NEW QUESTION: 3
This accounting method attributes a dollar figure to every input required to provide a service.
A. contractual allowance
B. cost accounting
C. reimbursement
D. charge accounting
Answer: B