Question: Arthur owned 4, 200 shares of common stock of the Kyle Corporation common shares which he had purchased in 2008 for dollar 10 per share. In July of 2016, Kyle Corporation distributed non-taxable rights (one right for each share owned) to purchase additional shares at dollar 15 per share. At the date of the distribution, the fair value of the stock was dollar 30 per share and the fair value of each right was dollar 12. In December 2016, Arthur sold all of the rights for dollar 63,000. What is the realized and recognized gain or loss and what is the type of gain or loss on the sale transaction?