Jeremy has done pretty well in the stock market by picking stocks over the years. This year, he would like to "take some gains" an sell shares to generate cash to purchase his dream car - a 1979 Pontiac Trans Am. He wishes to sell 500 shares of his Bexel corporation stock which he has purchased over the years. He wants to pay the last amount of tax as possible, as he needs to use the proceeds from the years. He wants to pay the least amount f tax as possible, as he needs t use the proceeds from the stock sale to buy the car. In order to minimize this gain, which shares should he sell? Compute the amount of taxable gain that he must report. The sales price for the 500 shares will be $40 per share, but there is sales commission of $250 on the transaction. His Bexel corporation purchases (not including brokers commission of 100 with each lot purchase) over the years are as follows:

a. lot 1- 600 shares purchased in 2011 for $10 per share

b. lot 2-400 shares purchased in 2012 for $25 per share

c. lot 3- 100 shares purchased in 2014 for $20 per share

d. lot 4- 50 share purchased in 2015 for $30 per share