Nana Is a Self-Employed Consultant

Multiple Choice

Nana is a self-employed consultant.For the past five years,she has used an extra bedroom (15% of the house) in her home as a qualifying home office and deducted $9,000 of depreciation expense.This year she sells the house for $740,000.The house cost $500,000.Nana is single.She will recognize gain on the sale of the house of

A) $0.
B) $9,000.
C) $45,000.
D) $249,000.