Alice owns nonresidential rental real estate which was purchased in 1985. Straight-line depreciation was used on the asset. The property is sold at a $150,000 gain this year. The initial characterization of the gain is:
a. Section 1245 gain.
b. Section 1250 gain.
c. Section 1231 gain.
d. Section 179 gain.
e. None of the above.