need help with homework

Question

Martin sells a stock investment for $26,000 on August 2, 2015. Martin's adjusted basis in the stock is $15,000.


a. If Martin acquired the stock on November 15, 2014, calculate the amount and the nature of the gain or loss. $ short term capital gain.


b. If Martin had acquired the stock on September 11, 2013, calculate the amount and nature of the gain or loss. $ long term capital gain.

 

I need to find for A. short-term capital gain or loss and for B. long-term capital gain or loss.

Can you help me understand this question.

Answer 1

The gain is $11,000.  That is how much money Martin makes on the sale.  It is only long term if he held it for over one year.  Otherwise it is short term.