In year 0, Longworth Partnership purchased a machine for $43,500 to use in its business. In year 3, Longworth sold the machine for $34,000. Between the date of the purchase and the date of the sale, Longworth depreciated the machine by $24,800. (Loss amounts should be indicated by a minus sign.)

1)What amount of gain (loss) is recognized on the sale? (Leave no answer blank. Enter zero if applicable.)

a) Total loss or gain recognized_______

b) Ordinary gain or loss? _________

c) 1231 gain or loss 0

2)What amount of gain (loss) is recognized on the sale if the sale proceeds were increased to $50,500?

a) Total loss or gain recognized_______

b) Ordinary gain or loss? _________

c) 1231 gain or loss 0

3) What amount of gain (loss) is recognized on the sale if the sale proceeds were decreased to $13,600? (Leave no answer blank. Enter zero if applicable.) a) Total loss or gain recognized_______ b) Ordinary gain or loss? 0 c) 1231 gain or loss ________