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10. During the current year, a corporation sells equipment for $300,000. The equipment cost of $270,000 when purchased and placed in service two years ago
10. During the current year, a corporation sells equipment for $300,000. The equipment cost of $270,000 when purchased and placed in service two years ago and $60,000 of depreciation deductions were allowed. The result of the sale are a. Ordinary income of $90,000 b. Sec. 1231 gain of $90,000 c. Ordinary income of $60,000 and long-term capital gain of $30,000 d. Ordinary income of $60,000 and Sec. 1231 gain of $30,000
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