Question: On February 2 2 , 2 0 2 2 , Jesse thought Oak Company stock was over valued. Convinced the price would decline, he borrowed

On February

22, 2022,

Jesse thought Oak Company stock was over valued. Convinced the price would decline, he borrowed

100

shares the from his broker at $

50

per share. He then immediately sold the share in a short sale. On July

29, 2022,

the price declined to $

41

per share. Jesse purchased

100

hares at this price on the open market and then delivered them to his broker to close the short sale. How should this transaction be reported on Jesse's tax return?

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