20. During the current year, Hugo sells equipment for $150,000. The equipment cost $175,000 when placed in service two years ago, and $55,000 of depreciation deductions were allowed. The results of the sale are

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Part 1

A.

Sec. 1231 gain of $30,000.

B.

LTCG of $30,000.

C.

Sec. 1245 ordinary income $30,000.

D.

Sec. 1250 ordinary income of $30,000.