Gamma Corporation sold the following property on March 3 of the current year:

The corporation used the equipment, building, and land in its business and has held all the property for more than one year. Aside from these transactions, Alpha had $720,000 of operating net income during the current year. Gamma has a $24,000 nonrecaptured Sec. 1231 loss from prior years. Determine the character of the gains and losses, and calculate the corporation€™s taxable income. Ignore the U.S. production activities deduction.

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SecuritiesEquipment Building Land 5002 210.000 385.00$175000 Selling price S385.00D S175.000 Cost S100,000 S200,000 S400,000 S190,000 Accumulated depreciation0 Adjusted basis Gain (loss) (125.000) 120000 -0 00000 75.00 1000 S (35,000) $105,000 S(15,000)