Funland Corp. sold a building for $600,000. Funland received a down payment of $120,000 as...
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Funland Corp. sold a building for $600,000. Funland received a down payment of $120,000 as well as annual principal payments of $120,000 for each of the subsequent 4 years. Funland purchased the building for $500,000 and claimed depreciation of $80,000. What amount of gain should Funland report in the year of sale using the installment method?
$36,000
$54,000
$120,000
$180,000
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