LO2 Ratliff Development Corporation purchases a tract of land in 2009 at a cost of

$120,000 and subdivides the land into 30 building lots. The cost of subdividing is

$6,000. In 2009, Ratliff installs roads and utilities at a cost of $36,000 and pays property taxes totaling $2,000 in 2009 and 2010. Interest paid on the loan used to purchase the land is $10,000 in 2009 and $6,000 in 2010. In 2010, Ratliff sells 10 lots for a total of $350,000. What is the corporation’s gain or loss on the sale of the lots?