Problem 14-75 (b) (LO. 8, 10) On March 6, 2016, Cloe Company acquired an office building for $9,700,000 (with $700,000 being allocated to the land). The straight-line cost recovery method was used. The property was sold on June 22, 2020, for $8,700,000. Click here to access the Exhibit for MACRS Straight-Line Depreciation for Real Property. If an amount is zero, enter "0". Do not round cost recovery factors. Round the total cost recovery deduction to the nearest dollar. a. Compute the cost recovery and adjusted basis for the building. The cost recovery is $ X, and the adjusted basis for the building is $ x. Feedback Check My Work Generally, 1250 property is depreciable real property (principally buildings and their structural components) that is not subject to 1245. Intangible real property, such as leaseholds of 1250 property, is also included. b. What are the amount and nature of Cloe's gain or loss from disposition of the property? What amount, if any, of the gain is unrecaptured 1250 gain? There is $ of recognized loss on the sale of the property, of which 0 is subject to 1250 recapture.