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If you bought 100 shares at $20 per share, each share had a cost basis of $20. If the stock then split 2 for 1, you would have 200 shares, each with a cost basis of $10. If it split 2 for 1 again you would have 400 shares, each with a cost basis of $5. If you sold 100 of the 400 shares at $50 each, your cap gain would be $5,000 - $500 = $4,500.

Good Luck,
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