Capital Gains and Casualty Gains and Losses (LO 8.8) Rebecca recognizes a $6,400 casualty loss, before any limitations, as a result of the complete destruction of personal-use property. She also receives $1,200 of insurance proceeds for the destruction of a second item of personal-use property which was damaged in a separate casualty. The damaged property had a fair market value before the casualty of $2,000 and after the casualty of $700. The adjusted basis of the property was $500. Determine the amount and nature of Rebecca's gain or loss before the 10 percent of AGI limitation as a result of these casualties, before considering any adjusted gross income limitation. Amount of gain or loss: $