Eric owns 600 shares of Razor, Inc., stock for which he paid $3,500 in 2007. On December 14, 2011, he sells the 600 shares for $4 per share and pays a commission of $200 on the sale. On January 3, 2012, Eric purchases 500 shares of Razor, Inc., for $3 per share and pays a $150 commission on the purchase. What is Eric’s recognized gain or loss on the sale of the 600 shares? What is his basis in the 500 shares purchased in 2012?