An asset's book value is $19,900 on December 31, Year 5. The asset has been depreciated at an annual rate of $4,900 on the straight-line method. Assuming the asset is sold on December 31, Year 5 for $16,900, the company should record:

rev: 10_27_2016_QC_CS-67703

A) A loss on sale of $3,000.

B) A gain on sale of $3,000.

C) A loss on sale of $4,350.

D) A gain on sale of $4,350.

E) Neither a gain nor a loss is recognized on this type of transaction.