Stevenson Company purchased equipment for $250,000 on January 1, 2010. The estimated salvage value is $50,000, and the estimated useful life is 5 years. The straight-line method is used for depreciation. On July 1, 2013 Stevenson sold the equipment for $100,000. Calculate the gain or loss on the sale of the equipment.

Using the information from question, assume that 50% of the bonds were retired on July 1, 2014 at 90.