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Franco converted a building from personal to business use in May 2016 when the fair market value was $50,000. He purchased the building in July 2013 for $80,000. On December 15 of this year, Franco sells the building for $40,000. On the date of sale, the accumulated depreciation on the building is $5,065. What is Franco's recognized gain or loss on the sale? 6.25 points Gain recognized Loss recognized