On July 1, 2017, Penelope gave Peter a gift of stock worth $9,000. Penelope had purchased the stock for $10,000 in 2014. On November 1, 2017, Peter sold the stock to an unrelated party for $8,500. What is the amount and character of Peter’s gain or loss upon the sale?
a. $500 short-term capital loss
b. $1,500 long-term capital loss
c. $500 long-term capital loss
d. $1,500 short-term capital loss