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joe is a sole proprietor. during the year he sold a machine (initial cost $175,000; AB 100,000) he had used in his business for 20,000

joe is a sole proprietor. during the year he sold a machine (initial cost $175,000; AB 100,000) he had used in his business for 20,000 resulting in a 80,000 loss. assuming joe realized net $500,000 1231 gain on the sale of several other 1231 assets during the year, how will the loss on the sale of the above machine be classified?

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