Question: Five years ago you bought a widget-making machine for $1M. After all of the wonderful MACRS depreciation deductions, your adjusted basis was $250,000 when you

Five years ago you bought a widget-making machine for $1M. After

Five years ago you bought a widget-making machine for $1M. After all of the wonderful MACRS depreciation deductions, your adjusted basis was $250,000 when you sold it today for $1,200,000 (because of supply chain disruptions, its value had actually increased). What amount and character of gain will you recognize on today's sale

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