In 2016, a merchandise was sold on installment basis by MB Company for 80,000 at gross profit of 25 % on cost. During the year, a total of 42,500 including interest of 12,500 was collected on this contarct. In 2016, no collection was made on this sale, and the merchandise was repossessed. The fair value of the merchandise is 34,000 after reconditioning cost of 4,000. What is the gain (loss) on repossession?