On January 1, Year 1, Jing Company purchased office equipment that cost $34,700 cash. The equipment was delivered under terms FOB shipping point, and transportation cost was $2,700. The equipment had a five-year useful life and a $11,300 expected salvage value. Assume that Jing Company earned $33,500 cash revenue and incurred $22,500 in cash expenses in Year 3. The company uses the straight-line method. The office equipment was sold on December 31, Year 3 for $16,700. What is the company's net income (loss) for Year 3? Multiple Choice ($6,040) ........... $5,960 $6,040 $740