In 2010, Andrea sold a piece of equipment from Andreas business for $300,000. The equipment was purchased in 2006 for $180,000. It had a useful life of five years and was depreciated on a straight-line basis. Assume total of $126,000 depreciation was taken (prior to the sale). What is Andreas recognized gain on the sale? a. $300,000 b. $246,000 c. $126,000 d. $120,000 Refer to the facts stated in the prior question. What amount of the gain will be recaptured at Andreas ordinary income rate? a. $300,000 b. $246,000 c. $126,000 d. $120,000 Refer to the facts stated in the prior two questions. What amount of the gain will be treated as Section 1231 gain and (possibly) taxed at the long-term capital gain rate? a. $300,000 b. $246,000 c. $126,000 d. $120,000