On January 1, 2018, Leo paid $15,000 for 5 percent of the stock in BLS, an S corporation. In November, he loaned $8,000 to BLS in return for a promissory note. BLS generated a $600,000 operating loss in 2018. BLS generated $220,000 ordinary business income in 2019. In 2020, BLS repaid its $8,000 debt to Leo before he restored any basis in the debt. How much gain or loss, if any, will Leo recognize as a result of the debt repayment? Answer is complete but not entirely correct. $ 8,000 (X Gain On January 1, 2018, Leo paid $15,000 for 5 percent of the stock in BLS, an S corporation. In November, he loaned $8,000 to BLS in return for a promissory note. BLS generated a $600,000 operating loss in 2018. BLS generated $220,000 ordinary business income in 2019. In 2020, BLS repaid its $8,000 debt to Leo before he restored any basis in the debt. How much gain or loss, if any, will Leo recognize as a result of the debt repayment? Answer is complete but not entirely correct. $ 8,000 (X Gain