Larry is the sole proprietor of a trampoline shop. During 2016, the following transactions occurred:

Larry sold an apartment building for $300,000 on September 1. The rental property was purchased on September 1, 2013, for $150,000 and was being depreciated over a 27.5-year life using the straight-line method. At the date of sale, the adjusted basis was $124,783.

what are the amount and nature of recognized gain or loss?