She specifically instructs the fund to sell the shares


Jenny Kellner, who earns $50,000 per year as an executive secretary, bought 100 shares of Environmental Fund in Year 5 at $10 per share, another 100 in Year 6 at $30 per share, and 100 more in January of Year 7 at $100 per share. In March of Year 8, Jenny instructs the fund to sell 100 shares at $40 per share. She specifically instructs the fund to sell the shares purchased in January of Year 7 and receives a written confirmation of the identification. On the sale of mutual fund shares, how much long-term capital loss does Jenny have?

A. $1,000

B. $4,000

C. $5,000

D. $6,000

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Finance Basics: She specifically instructs the fund to sell the shares
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