Linda, who is self-employed, purchased a house in 2010 for $220,000 and uses 15% of the house as an office. The office is used on a regular and exclusive basis and is her principal place of business. Depreciation of $4,000 has been deducted when she sells the house for $400,000. Which of the following statements is not true with regard to these facts?

1. If the office is in a separate structure the gain recognized is $31,000.

2. If the office is not in a separate structure the gain recognized is $4,000.

3. The total gain realized is $184,000 regardless of whether or not the office is in a separate structure.

4. None of the answers provided is correct.

5. The total gain recognized is $4,000 regardless of whether or not the office is in a separate structure.