Question) Three years ago, an investor bought 200 shares of IBM stock at $100 per share and 200 share of GE stock at $30 per share. On December 15 of last year, the investor sold 100 shares of IBM at $75 per share and 100 shares of GE at $35 per share. On January 10, the investor bought 100 shares of IBM at $77 per share and 100 shares of GE at $32 per share. What are the income tax consequences the investor must report from these transactions?

Multiple choice answer) Please Answer and Explain!

A) A long-term capital gain of $500.

B) A long-term capital loss of $2,500.

C) No capital gain or loss.

D) A net long-term capital loss of $2,000.