Question: Save & Exit Submit Franco converted a building from personal to business use in May 2019 when the fair market value was $52,500. He

Save & Exit Submit Franco converted a building from personal to business

Save & Exit Submit Franco converted a building from personal to business use in May 2019 when the fair market value was $52,500. He purchased the building in July 2016 for $84,000. On December 15 of this year, Franco sells the building for $42,000. On the date of sale, the accumulated depreciation on the building is $5,315. What is Franco's recognized gain or loss on the sale?

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