Equipment with a cost of $620,000 has an estimated salvage value of $60,000 and an estimated life of 4 years was purchased on January 1, 2017. It is to be depreciated by the straight-line method. What is the amount of depreciation expense for 2017? $160,000. $140,000 $170,000 $155,000. 22 45 A company sells a plant asset that originally cost $375,000 for $175,000 on December 31, 2017. The accumulated depreciation account had a balance of $150,000 after the current year's depreciation of $37,500 had been recorded. The company should recognize a $50,000 loss on disposal. a $12,500 loss on disposal. a $150,000 gain on disposal. a $200,000 loss on disposal