In 2019, Gordon Grant sold an office building for $180,000. He had purchased the building in 1986

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In 2019, Gordon Grant sold an office building for $180,000. He had purchased the building in 1986 for $150,000 and had properly deducted $100,000 of depreciation, which included $15,000 in additional

(excess) depreciation. How will Gordon treat the gain on the sale of this office building?

a. $15,000 ordinary income; $115,000 Section 1231 gain

b. $30,000 ordinary income; $100,000 Section 1231 gain

c. $100,000 ordinary income; $30,000 Section 1231 gain

d. $0 ordinary income; $130,000 Section 1231 gain

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CCH Federal Taxation Basic Principles 2020

ISBN: 9780808051787

2020 Edition

Authors: Ephraim P. Smith, Philip J. Harmelink, James R. Hasselback

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Question Posted: Feb 19, 2024 04:01 AM

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In 2019, Gordon Grant sold an office building for $180,000. He had purchased the building in 1986

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CCH Federal Taxation Basic Principles 2020

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