An asset is purchased on January 1 for $40,000. It is expected to have a useful life of five years after which it will have an expected residual value of $5,000. The company uses the straight-line method. If it is sold for $30,000 exactly two years after it is purchased, the company will record a: gain of $6,000. loss of $4,000. gain of $4.000. loss of $6,000