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New Morning Bakery is in the process of closing its operations. It sold its $2-$year$-$old bakery ovens to Great Harvest Bakery

for $$540,000.$ The ovens originally cost $$734,000,$ had an estimated service life of $10$ years, had an estimated residual

value of $$44,000,$ and were depreciated using straight$-$line depreciation. Complete the requirements below for New

Morning Bakery.

Determine the financial statement effects of the sale of the ovens at the end of the second year.

Note: Amounts to be deducted should be indicated by a minus sign.