In 2019 Ann received 1,000 shares of stock as a gift from her husband, Tim, who purchased them in 2010. At the time of the gift, the FMV of the stock was $29,300 and Tim’s basis was $31,000. If Ann sells the stock for $32,834 in 2019, what is the nature and amount of the gain from the sale?

a. $1,834 long-term gain.

b. $3,534 long-term gain.

c. $1,834 short-term gain and $1,700 long-term gain.

d. $1,834 term gain and $1,700 short-term gain.