Bronze Corporation Sold Machinery for $27,000 on December 31,2011

Bronze Corporation sold machinery for $27,000 on December 31,2011.The machinery had been purchased on January 2,2008,for $40,000 and had an adjusted basis of $21,000 at the date of the sale.For 2011,what should Bronze Corporation report?

A) Ordinary income of $6,000.
B) A § 1231 gain of $3,000 and $3,000 of ordinary income.
C) A § 1231 gain of $6,000.
D) A § 1231 gain of $6,000 and $3,000 of ordinary income.
E) None of the above.