Rio Grande Company purchased equipment for $75,000; the current book value of the equipment is $10,000. Which of the following would be included in the journal entry that Rio Grande would record if the equipment and $19,000 cash are traded for a car with a FMV of $25,000?

Group of answer choices

A credit to Car for $25,000.

A debit to Loss on Disposal of Equipment for $4,000.

A credit to Equipment for $10,000.

A credit to Gain on Disposal of Equipment for $4,000.

PLEASE ANSWER ASAP!