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Individual Lark's year 2 brokerage account statement listed the following capital gains and losses from the sale of stock investments: Shortterm capital gain $ 6,000

Individual Lark's year 2 brokerage account statement listed the following capital gains and losses from the sale of stock investments:

Shortterm capital gain $ 6,000

Longterm capital gain 14,000

Shortterm capital loss 4,000

Longterm capital loss 8,000

In addition, two stock investments became worthless in year 2. Public Company X stock was purchased in December, year 1, for $5,000, and formal notification was received by Lark on July, year 2, that it was worthless. Private company Section 1244 stock was issued to Lark for $10,000 in January, year 1, and was determined to be worthless in December, year 2. What is Lark's year 2 net capital gain or loss before any capital loss limitation?

Group of answer choices:

$3,000 short-term capital gain

$2,000 short-term capital gain and $1,000 long-term capital gain

$7,000 net capital loss

$2,000 short-term capital gain and $6,000 long-term capital gain

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