Victor is a one-third partner in the VRX Partnership, with an outside basis of $156,000 on January 1. Victor sells his partnership interest to Raj on January 1 for $200,000 cash. The VRX Partnership has the following assets and no liabilities as of January 1:

	Basis	FMV
Cash	$ 27,000	$ 27,000
Accounts receivable	0	18,000
Inventory	103,500	121,500
Equipment	270,000	337,500
Stock investment	67,500	96,000
Totals	$ 468,000	$ 600,000

The equipment was purchased for $360,000 and the partnership has taken $90,000 of depreciation. The stock was purchased seven years ago. What is the amount and character of Victor's gain or loss on the sale of his partnership interest?