Dim Corporation Purchased One Thousand Shares of Witt Corporation Stock

Dim Corporation purchased one thousand shares of Witt Corporation stock in 2006 for $800 per share and classified the investment as securities available for sale. Witt's market value was $400 per share on December 31, 2007, and $300 on December 31, 2008. During 2009, Dim sold all of its Witt stock at $350 per share. On their 2009 income statement, Dim would report:

A) A realized gain of $50,000.
B) A recognition of unrealized losses of $400,000.
C) A loss on the sale of investments of $450,000.
D) A trading gain of $50,000 and an unrealized loss of $500,000.(As part of year-end fair-value adjustment, Dim would remove any previously recorded fair-value adjustment and accumulated other comprehensive income associated with the Witt investment.)