On October 1, 2014, Freedom Communications purchased a new piece of equipment that cost $60,000. The estimated useful life is five years and estimated residual value is $5,000. Assume that Freedom uses the straight-line method of depreciation and sells the equipment for $23,500 on October 1, 2018. The result of the sale of the equipment a gain (loss) of A. $7,500 O B. ($31,500) O C. $0. O D. $2.500