The capital gain the investor earned on this investment can be calculated by subtracting the initial purchase price from the selling price.
Purchase price = $5 per share
Selling price = $6.50 per share
Number of shares = 50
Capital Gain = (Selling price - Purchase price) * Number of shares
Capital Gain = ($6.50 - $5) * 50
Capital Gain = $1.50 * 50
Capital Gain = $75
Therefore, the investor earned a capital gain of $75 on this investment.
Answer: $75
An investor purchased 50 shares of stock in a company in 2015. At the time the investor
purchased the stock, the value of the stock was priced at $5 per share. The investor sold all 50
shares of stock in 2019. The value of the stock at the time of sale was $6.50 per share. What is
the capital gain the investor earned on this investment? (1 point)
$50
$250
$325
$75
1 answer