39. Lee recognizes $35,000 of Sec. 1231 gains and $25,000 of Sec. 1231 losses during the current year. The only other See. 1231 item was a $4,000 loss three years ago. This year, Lee must report A) NLTCG Ordinary Income $10,000 SO B) NLTCG $6,000 Ordinary Income 154.000 NLTCG $4,000 Ordinary Income $6,000 D) NLTCG $4.000 Ordinary Income $10,000