The following are gains and losses recognized during 2020 by Steve on business assets that he owned and used in his proprietorship business for more than one year. All of the assets qualify as Series 1231 property. - Gain due to insurance reimbursement for casualty ............................................................ $36,000 - Gain due to condemnation ..................................................................................................... 54,000 - Loss on sale of business asset............................................................................................. (30,600) A summary of Steves net Section 1231 gains and losses for the past five years is a follows: 2015 $9,000 net Section 1231 gain 2016 $ 5,400 net Section 1231 loss 2017 $30,600 net Section 1231 loss 2018 $21,600 net Section 1231 gain 2019 $ 18,000 net Section 1231 loss

Describe the specific tax treatment of each of the current year transactions for 2020, stating whether the gain or loss is ordinary or long-term capital gain. Also give the applicable tax rate on any gains assuming that Steves marginal tax rate on any such gains in 2020 is 37 percent. None of the gains are subject to depreciation recapture under the either Section 1245 or 1250.