considering items. wildl the above income for 2016? taxable 73. Comprehensive Problem. Mark Mullins had the following transactions or involuntary conversions during 2016: a. His diamond costing $4,0 in 2010 were sold for $5,000. b. His office building owned for four years was damaged by fire. The loss after insurance recovery was $12,000. c. Equipment purchased in 2011 for 18,000 with a basis at the time of sale of $6,000 was sold for $11,000 on January 1, 2016. d. An apartment building purchased on January 1, 1986, for $300,000 was sold for $124,000 on January 1, 2016. Mark took accelerated depreciation of $236,000. Straight-line depreciation would have been $200,000