Question $9$

in $2020,$ ACORP, Inc $($a C$-$Corporation$)$ purchased a parking lot to use for parking next to it's corporate headquarters for $250,000$ which is its adjusted basis. In $2024,$ ACORP, Inc decides that the parking lot is no longer needed and sells the parking lot for $$175,000.$ What is the amount and character of the gain or loss recognized.

A$.$

$$75,000$ Section $1231$ loss

B$.$

$$75,000$ ordinary loss

C$.$

$$40,000$ ordinary loss and $$35,000$ section $1231$ loss

D$.$

$$75,000$ section $1250$ unrecaptured gain.