Beta Corp. had an involuntary conversion on December 31, 2023. It's equipment had been acquired on May 1, 2021 for $98,000 and its adjusted basis was $28,400. The equipment was completely destroyed by fire and Beta received $20,000 of insurance proceeds for the machine and did not replace it. This was Beta's only casualty and theft event for the year. As a result of this event, Beta initially has: a. $8,400 casualty loss. b. $20,000 Sec. 1231 loss. c. $8,400 Sec. 1231 loss. d. $20,000 Sec. 1245 recapture gain. e. None of the choices presented are correct