Describe the sequence of the budgeting process

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1. Chris purchased a call option on Nov 18 th 2016 for $500. Option gave him the right to buy 100 shares of Vectron for $45 per share. He sold option for $550 on Dec 15 th 2016 when the price of the stock was $48 a share. How much capital gain should he report in his 2016 return?

2. Briefly, describe the sequence of the budgeting process and explain how product costs are viewed on a flow-of-activity basis.

Reference no: EM131933875

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