A taxpayer sold for $200,000 equipment that had an adjusted basis of $180,000. Through the date of

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Question:

A taxpayer sold for $200,000 equipment that had an adjusted basis of $180,000. Through the date of the sale, the taxpayer had deducted $30,000 of depreciation. Of this amount, $17,000 was in excess of straight-line depreciation. What amount of gain would be recaptured under Section 1245 (Gain from Dispositions of Certain Depreciable Property)?

a. $20,000

b. $30,000

c. $17,000

d. $13,000