Alton received a Form 1099-B that shows a net sales price of $3,500 on the sale of 600 shares of FNP Company. He bought the stock on October 21, 2016, and sold it on October 22, 2017. His basis in the stock is $2,025, of which $25 is a commission fee. What is the amount and nature of Alton’s gain?

a. $1,475 short-term gain.

b. $1,475 long-term gain.

c. $1,500 short-term gain.

d. $1,500 long-term gain.