At the end of 2020, Mr. Vaughn sold both his city home and his summer cottage. Every year he has spent at least a portion of the year living in each of the two locations. When he is not residing in these properties they are left vacant. Relevant information on the two properties is as follows: Year acquired Cost Gross proceeds from sale Real estate commissions City Home Cottage 2003 2003 $264,000 $ 36,000 528.000 330,000 32,000 16,000 Mr. Vaughn wishes to minimize any capital gains resulting from the sale of the two properties. Required: Describe how the residences should be designated in order to accomplish Mr. Vaughn's goal. In addition, calculate the amount of the gain that would arise under the designation that you have recommended