Suppose you buy 100 shares of a stock at $12 per share, then another 100 at $10 per share, then you sell 150 shares at $15. you have to pay taxes on the gain, but exactly what is the gain? in the united states, the fifo rule holds: you first sell all shares of the first batch for a profit of $300, then 50 of the shares from the second batch, for a profit of $250, yielding a total profit of $550.

Total gain is $550

Explanation:

The gain is amount of sales- total cost

If FIFO is applied , the first 100 unit cost is $1200 ($ 12 each)

The rest,  that will be 50 units, cost $10 each ,  so 500.

Total cost is 1200 +500=1700

Sales is 150 units *$15=2250

Gain=2250-1700=550

FIFO perpetual is attached

answer; to open a new transaction, the user should type the code/0 along with a new transaction code, when done with that the user should press enter to open the transaction; good luck;