Question: Taxpayer sells a machine that she has been using for several years in her sole proprietorship. The original cost of the machine was $20,000. On

Taxpayer sells a machine that she has been using for several years in her sole proprietorship. The original cost of the machine was $20,000. On the date of sale, the taxpayer has claimed total depreciation deductions of $12,000. The sale price is $15,000. How much Section 1231 income, if any, will the taxpayer recognize from the sale?

A 8,000

B 12,000

C 7,000

D 0

E None of the above

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