Furniture costing £280,000 was reported at £195,400 on the Statement of financial position as at 31 December 2010. Furniture acquired on 4 May 2011 cost £72,000; while those acquired on 2 July 2006 for £24,000 were discarded on 31 July 2011 and others, acquired for £60,000 on 3 June 2008, were sold for £15,000 on 4 November 2011. Furniture is depreciated at 5% of cost per annum with time apportionment to the nearest number of months of use. Calculate the depreciation expense in the year 2011 and the gain or loss on the discard and the disposal.

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Depreciation a £15,400 b £15,300 c £19,500 d £19,600 On discard £17,900 loss £18,000 loss £19,100 loss £19,200 loss On sale £34,750 loss £36,000 loss £35,000 loss £36,000 loss