Exercise 16-14 (Algorithmic) (LO. 3) Olivia wants to buy some vacant land for investment purposes. She cannot afford the full purchase price. Instead, Olivia pays the landowner $20,000 to obtain an option to buy the land for $400,000 anytime in the next four years. Fourteen months after purchasing the option, Olivia sells the option for $25,000. What is the amount and character of Olivia's gain or loss? She has of $