McGraw-Hill's Taxation of Individuals and Business Entities 3rd Edition by Brian Spilker, Benjamin Ayers, John Robinson, Edmund Outslay, Ronald Worsham, John Barrick, Connie Weaver

Exercise 19

Moran owns a building he bought during year 0 for $150,000.He sold the building in year 6.During the time he held the building he depreciated it by $32,000.What is the amount and character of the gain or loss Moran will recognize on the sale in each of the following alternative situations?
a.Moran received $145,000.b.Moran received $170,000.c.Moran received $110,000.