Gilberto Invested in a Mid-Size Local Company with Gross Assets

Gilberto invested in a mid-size local company with gross assets of $16,000,000. Gilberto purchased 1,000 shares for $48,000 in 1999. In 2015, Gilberto sold the stock for $78,000. How is the gain treated for tax purposes?

A) $30,000 capital gain, taxed at preferential rates.
B) $15,000 excluded from gross income under Section 1202 with the remaining gain recognized and taxed at regular tax rates.
C) $15,000 excluded from gross income under Section 1202 and $15,000 taxed at 28%.
D) $15,000 excluded from gross income under Section 1202 and $15,000 taxed at preferential rates.