Sentry, Inc. sells equipment for $2,000 that had been purchased for $25,000 and on which $18,422 of depreciation had been taken. Sentry had used the equipment in its business for several years. If this is the only asset sold by Sentry during the year, Sentry has: a. Ordinary income of $4,578 (1245 depreciation recapture). b. A $4,578 1231 loss that becomes an ordinary loss. c. A $4,578 1231 loss that becomes a long-term capital loss. d. A $2,000 1231 gain. e. None of the above