Equipment was purchased at a cost of $59,000. The equipment had an estimated useful life of 5 years and a residual value of $4,000. Assuming the equipment was sold at the end of Year 4 for $5,000, determine the gain or loss on the sale of equipment. (Assume the straight-line depreciation method.) a. A loss of $5,000 O b. A gain of $10,000 Oc. A gain of $5,000 d. A loss of $10,000

Equipment was purchesed at a cost of 559,000 . The equipment had an estimated useful life of 5 years and a residuat velue of 54,000 , Assuming the aquipment was sald at the end of Year 4 for $5,000, determine the gain or loss on the sale of equipment. (Assume the straight-line depreciation method.) a. A loss of $5,000 b. A gain of $10,000 c. A gain of $5,000 d. A loss of $10,000