If John sold stock, cost basis of $24,000, in 2015 to Tim, his brother, for $22,000. At the time of the sale, the fair market for the stock was $22,000. Later in the same year, Tim sold the stock to an unrelated party for $26,000. What is the tax effect of these transactions?

a.	Disallowed loss toTim of $2,000; gain toJohnof $4,000.
b.	Disallowed loss toJohn of $2,000; gain toTim of $2,000.
c.	Deductible loss toJohn of $2,000; gain toTim of $2,000.
d.	Disallowed loss to John of $2,000; gain toTim of $1,000.
e.	Deductible loss toJohn of $2,000; gain toTim of $4,000.