Franco converted a building from personal to business use in May 2017 when the fair market value was $80,000. He purchased the building in July 2014 for $128,000. On December 15 of this year, Franco sells the building for $64,000. On the date of sale, the accumulated depreciation on the building is $8,065.

What is Francos recognized gain or loss on the sale?

Gain/Loss: