A company sells a plant asset that originally cost $300,000 for $110,000 on December 31, 2012. The accumulated depreciation account had a balance of $120,000 after the current year's depreciation of $30,000 had been recorded. The company should recognize a 1) $70,000 loss on disposal 2) $80,000 loss on disposal 3) $190,000 loss on disposal 4) $70,000 gain on disposal 4.14.05