1. Joanne owns 50% of the Albert Corporation. She originally paid $60,000 for the stock at the time the company was created. In 2019, she sold 1/2 of her shares to Albert l for $20,000. Albert is not related to her. How does Joanne account for the sale?

Alternatively, Joanne sold 1/2 of her shares to Albert who was brother. Her basis was $110,000 in all of her shares and she sold 1/2 for $49,000. How does Joanne account for the sale?