During the year, Olivia, an unmarried person had the following sales of stock:

A $30,000 loss on the sale of Pelton, Inc., a small corporation qualifying under IRC Section 1244

A long-term capital loss of $20,000 on the sale of a publicly traded stock

A long-term capital gain of $10,000 on the sale of another publicly traded stock

Which of the following statement describes the correct tax classifications of Olivia's overall net stock sale positions that will appear on her tax return?

Question options:

a. She will have a net long term capital loss of $40,000

b. She will have a net long-term ordinary loss of $40,000

c. She will have an ordinary loss of $30,000 and a net long-term capital loss of $3,000