[Canadian]

Hi,

I have a question on calculating capital gains for stocks. Here is an example of what I mean.

I bought 1,000 shares of company ABC for $4 per share.
Several weeks later I bought another 1,000 shares of ABC for $3 per share.
I recently sold 1,000 of the shares for $5.20.

My question is how is exactly the capital gain calculated in this case? Does the calculation use the difference between the sale price and my average buy price ($3.50) or is it calculated differently?



Thanks