What is the total basis after the dividend the basis per


Problem

Person A purchased 10,000 shares of common stock on 6/30/2012. Person A receives a nontaxable 20% common stock dividend on 6/1/2012. Person A originally paid $120,000 for the stock. What is the total basis after the dividend, the basis per share after the dividend, and when (date) does the holding period start for the initial stock purchased and the subsequent dividend?

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Accounting Basics: What is the total basis after the dividend the basis per
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