Garden Company purchased a tractor at a cost of $120,000. The tractor has an estimated residual value of $20,000 and an estimated life of 10,000 hours of operation. The tractor was purchased on January 1, 2012 and was used 2, 400 hours in 2012 and 2, 100 hours in 2013. On January 1, 2014, the company sold the tractor for $70,000. Garden Company uses the units-of- production method to account for the depreciation on the tractor. Based on this information, the entry to record the sale of the tractor will show: A gain of $5,000 A gain of $7, 500 A loss of $7, 500 A loss of $5,000