What is the net capital gain or loss from Kendra's security sales?

To determine Kendra's net capital gain or loss from her security sales, it's essential to understand the distinction between short-term and long-term capital gains and losses. Short-term gains and losses pertain to the sale of assets held for one year or less, while long-term gains and losses are associated with the sale of assets held for more than one year.

The correct choice indicates a net long-term gain of $2,600. This suggests that after calculating all her transactions involving long-term assets, Kendra has earned more from her long-term sales than she lost from any corresponding long-term losses. A net long-term gain contributes positively to her overall tax situation, as long-term capital gains are typically taxed at a lower rate compared to ordinary income or short-term capital gains.

For this answer to be correct, Kendra's calculations would show that her total long-term capital gains exceeded her long-term capital losses, resulting in a remaining gain of $2,600. This understanding of gains, losses, and their classifications is pivotal in tax planning, allowing her to strategize better for her potential tax liabilities.

In the context of the other options, they may reflect various combinations of short-term and long-term gains or losses, but they do not present a net