Bateman Corporation sold an office building that it used in its business for $800,000. Bateman bought the building 10 years ago for $600,000 and has claimed $200,000 of depreciation expense. What is the amount and character of Bateman's gain or loss?

		$400,000 capital gain
		$400,000 ordinary gain
		$40,000 ordinary and $360,000 1231 gain
		None of the choices are correct.
		$200,000 ordinary and $200,000 1231 gain