D.R. Horton, Inc., is the largest homebuilding company by volume in the United States. D.R. Horton reported the following in a disclosure note accompanying its 2015 financial statements ($ in millions):

Also, the company disclosed that the total cost of property and equipment included $26.7 and $66.9 (dollars in millions) in land at the end of 2015 and 2014, respectively. In addition, the statement of cash flows for the year ended December 31, 2015, reported the following as cash flows from investing activities:
__________________________________________________ ($ in millions)
Purchases of property and equipment ............................. $(56.1)
Proceeds from the sale of property and equipment ............ 56.0
The statement of cash flows also reported 2015 depreciation and amortization of $54.1 million (depreciation of $50.3 and amortization of $3.8).
Required:
1. Assume that all property and equipment acquired during 2015 were purchased for cash. Determine the amount of gain or loss from sale of property and equipment that D.R. Horton recognized during 2015.
2. Assume that D.R. Horton uses the straight-line method to depreciate property and equipment (excluding land). What is the approximate average service life of depreciable assets?

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2015 $313.8 (166.9) $146.9 2014 $334.8 (141.1) 193.7 Property and equipment Less: Accumulated depreciation