This year Pranav had the gains and losses noted below on property,plant and equipment used in his business.Each asset had been held longer than one year.

\begin{array} {| l | r| } \hline\text { Gain due to insurance reimbursement for fire } & \$ 17,000 \\\hline \text { Loss due to condemnation } & ( 12,000 ) \\\hline \text { Gain on sale of Sec. 1231 property } & 21,000 \\\hline\end{array}

A review of Pranav's reporting of Sec.1231 transactions for the prior five years indicates a net Sec.1231 loss of $14,000 three years ago and a net Sec.1231 gain of $8,000 last year (before the five-year lookback).Pranav will recognize
A)

\begin{array} {| r | r | } \hline \text { Ordinary gain (loss) } & \text { LTCG(L) } \\\hline \$ ( 6,000 ) & \$ 26,000\\\hline\end{array}

\begin{array} {| r | r | } \hline \text { Ordinary gain (loss) } & \text { LTCG(L) } \\\hline \$ ( 18,000 ) & \$ 38,000 \\\hline\end{array}

\begin{array} { |r | r |} \hline \text { Ordinary gain (loss) } & \text { LTCG(L) } \\\hline\$ 0 & \$ 18,000\\\hline\end{array}

\begin{array} {| r | r| } \hline \text { Ordinary gain (loss) } & \text { LTCG(L) } \\\hline \$ 6,00 \mathrm {~d} & \$ 20,00 \mathrm { l }\\\hline\end{array}

For Livestock to Be Considered Sec.1231 Property

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