Pam, a single taxpayer, owns a building used in her trade or business that was placed into service in 2004. The b cost $450,000 and depreciation to date amounts to $200,000. Pam sells the building in 2018 for $380,000. It is the o she sells this year, and she has no nonrecaptured Sec. 1231 losses.
a. What is the amount of recognized gain and the nature of the gain?
b. Assume that Pam's taxable income before consideration of the building gain is $550,000. How will the gain b
c. Assume that Pam's taxable income before consideration of the building gain is $100,000. How will the gain b

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The Answer of Pam, a single taxpayer, owns a building used in her trade or business that was placed into service in 2004. The b cost $450,000 and depreciation to date amounts to $200,000. Pam sells the building in 2018 for $380,000. It is the o she sells this year, and she has no nonrecaptured Sec. 1231 losses.
a. What is the amount of recognized gain and the nature of the gain?
b. Assume that Pam's taxable income before consideration of the building gain is $550,000. How will the gain b
c. Assume that Pam's taxable income before consideration of the building gain is $100,000. How will the gain b

Pam, a Single Taxpayer, Owns a Building Used in Her