Brenda Sells Stock She Purchased in 2004 for a $7,500

Brenda sells stock she purchased in 2004 for a $7,500 gain in 2014. In August 2014, she also sells land she purchased as an investment in December 2013 at a loss of $9,000. I. For 2014, Brenda's tax on the $7,500 gain is $1,125. II. Brenda can deduct $3,000 of the $9,000 loss in 2014. III. For 2014, Brenda has a net long-term capital loss of $9,000. IV. Brenda can only deduct a capital loss of $1,500 in 2014.

A) Statements I and II are correct.
B) Statements I, II and IV are correct.
C) Only statement II is correct.
D) Only statement IV is correct.
E) Statements I, II and III are correct.