capitalized as part of the cost of the land. 16. Majorca Company is disposing of a plant asset. The amount of gain or loss from this disposal is: a. Reported as the difference between the sales proceeds received and the book value (carrying amount) of the asset. b. Reported as the difference between the net cash flows of the productive years of the asset and its carrying amount. c. Reported as the market value less the recoverable amount. d. Not reported