Gain or Loss on Asset Sale Example Tanner Enterprises decided to sell the $80,000 truck fo $25,000 after 4 years of straight-line depreciation. The truck's estimated useful life was 5 years and its residua value was $8,000. Book value = Cost - Accumulated depreciation = $80,000 - ($14,400 x 4) = $22,400 Proceeds $25,000 > Book Value $22,400 = $2,600 Gain Gains and losses are nonrecurring operating, income components