If Ivanhoe, Inc. uses the composite method and its composite rate is 7.0% per year, what journal entry should the company record when plant assets that originally cost $113000 and have been used for 10 years are sold for $39000?

1)

Cash		39000
	Plant Assets		39000

2)

Cash		39000
Accumulated Depreciation - Plant Assets		74000
	Plant Assets		113000

3)

Cash		39000
Loss on Sale of Plant Assets		74000
	Plant Assets		113000

4)

Cash		39000
Accumulated Depreciation - Plant Assets		79100
	Plant Assets		113000
	Gain on Sale of Plant Assets		5100