Spin offs, Splits, and Selling

[bjan29]

Hello,
In 1994 company A spun off from company B. I worked for company B.

I received completely free 104 shares of company A because I had stock in company B. The stock price was $9.00

In 2000 I received another 52 shares as a result of a 3/2 split.
In 2001 I received another 78 shares as a result of a 3/2 split.
In 2002 I received another 117 shares as a result of a 3/2 split.

So I have 351 shares of company A for which I paid not a single penny.
I just sold these 351 shares. What is my cost basis? $9.00 X 351 ? or $9.00 X 104 or ? I am a novice in case you haven't noticed.
Thank you.

[Stocktrading101]

Good question,

Your cost basis (the price you paid for the shares originally) would be $9 x 104 shares or $936. The X-factor here though is that you were given these shares when the company (B) split.

If this is for tax purposes I would definitely ask an accountant just to double make sure you are taken care.

Hope that helps!