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A sale of a rental duplex owned by a law firm partner for several years....

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A sale of a rental duplex owned by a law firm partner for several years. Assume the partner purchased the duplex for $2,000,000, took a total of $200,000 of straight line depreciation deductions on the property, and sold the property for $2,300,000. Question 18 (1 point) The taxpayer's gain =$2,300,000AR$1,800,000AB=$500,000. Of the $500,000 of gain, $200,000 is ordinary and the other $300,000 is capital gain. True False Question 19 (1 point) The 25% capital gain rate applies to the gain, up to the $200,000 of unrecaptured depreciation on the property. The remaining $300,000 of capital gain is in the "other gain" group. True False

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