A firm has fully depreciated its network server, but the buyer is willing to pay $5,00 for it. If the firm sell the depreciated server, which of the following consequences is MOST accurate?

A. The firm can write-off the equipment as a charitable donation since the selling price is less than one-tenth of the original cost of the equipment.

B. The firm can document the server as a capital loss.

C. The firm has a tax liability since the erver's book value is now zero.

D. The firm must pay a capital gains tax on two-thirds of the selling price of the server.