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The capital gain can be calculated by finding the difference between the selling price and the purchase price per share, and then multiplying that difference by the number of shares.
Purchase price per share: $5
Selling price per share: $6.50
Number of shares purchased: 50
Capital gain per share = $6.50 - $5 = $1.50
Total capital gain = $1.50 x 50 shares = $75
Therefore, the investor earned a capital gain of $75 on this investment.