On January 30, Juan receives a nontaxable distribution of stock rights from Platinum Corporation. Each right entitles the holder to purchase one share of stock for $40. One right is issued for every share of stock owned, Juan owns 100 shares of stock purchased two years ago for S4,000. At the date of distribution, the rights are worth $1,000 (100 rights at $10 per right) and Juan's stock in Platinum is worth $5,000 (or $50 per share). On December 1, Juan sells all 100 stock rights for S12 per right. How much gain does Juan recognize on the sale? O a. S1.200 Obi S533 Oc$400 Od SO