16. A used car lot owner sold an adjacent lot he used for business purposes for $125,000. He purchased this lot 10 years prior for $65,000. He did not pave this lot or make any improvements to it. He paid $4,600 in closing costs at the sale. How much gain does he have, and what type of gain is it? - $55,400 Section 1250 gain. - $55,400 Section 1231 gain. - $4,600 Section 1245 gain, $50,800 Section 1231 gain. - $55,400 Section 1245 gain