Sale of inventory would be reported on Sch C. Sale of assets used in the business would not. Depreciation recapture would be ordinary income, but not subject to SE and not on Sch C. Any capital gains would also not be on Sch C.
Depending on method of accounting and other assets involved, they may or may not be reported on Sch C.
For example, if you used cash method of accounting for tax, but had accounts receivable for books, the sale of account s receivable would be ordinary and reported on Sch C, along with sale of inventory.
**Disclaimer: Effort has been made to offer correct information; but due to the discussion forum limitations, the poster disclaims any legal responsibility for the accuracy of the poster's response**
