"Mike Company purchased a new machine on January 1, 2005 for $264,000. At the time of acquisition, the machine was estimated to have a useful life of ten years and an estimated salvage value of $12,000. The company has recorded monthly depreciation using the straight-line method. On December 31, 2013, the machine was sold for $36,000. What should be the gain or loss recognized from the sale of the machine? "

$0.00

"Loss of $1,200. "

"Gain of $1,200. "

"Loss of $5,400. "