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Jody gives a child, Clove, 1 2 4 5 property with an adjusted basis of $ 3 , 0 0 0 . The amount of

Jody gives a child, Clove, 1245 property with an adjusted basis of $3,000. The amount of recapture potential is $850. Clove uses the property in a business and claims further depreciation of $300 before selling it for $4,400. Which of the following statements is true?
a. Clove has $1,7001231 gain.
b. Clove has $5501231 gain and $1,150 in ordinary income.
c. Clove has $8501231 gain and $850 in ordinary income.
d. Clove has $1,1501231 gain and $550 in ordinary income.
e. Clove has $1,700 in ordinary income.

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