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Three friends own shares of Plesko Corporation as follows: Danielle, 300 shares; Erin, 300 shares; and George, 400 shares. Plesko redeems 200 of George's shares,

Three friends own shares of Plesko Corporation as follows: Danielle, 300 shares; Erin, 300 shares; and George, 400 shares. Plesko redeems 200 of George's shares, which have a basis of $175,000 to him, for $300,000. If George's stock is a capital asset and has been held for over six years, determine the amount and character of any gain or loss. Assume corporate E&P of $730,000

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