A Retail Building Used in the Business of a Sole

question 62

Multiple Choice

A retail building used in the business of a sole proprietor is sold on March 10, 2012, for $342,000. The building was acquired in 2002 for $400,000 and straight-line depreciation of $104,000 had been taken on the building. What is the maximum unrecaptured § 1250 gain from the disposition of this building?

• A)$400,000.
• B)$322,000.
• C)$104,000.
• D)$26,000.
• E)None of the above.

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Definitions:

Intended Behavior

The behavior that an individual plans or aims to carry out, often based on their goals, motivations, or plans.

Given Circumstance

The pre-existing conditions or facts that set the context or background for a situation or narrative.

Spillover Effect

The phenomenon where the effects or outcomes in one area or domain carry over into another, often seen in economic and social contexts.

Happiness

A state of well-being and contentment characterized by emotions ranging from contentment to intense joy.