Ten Mile Products, Inc. reported the following values on their December 31 balance sheets. All amounts are in thousands of US dollars.

In addition, the following information is provided for Ten Mile Products, Inc.:

Total Depreciation expense for the year was $2,100.

After recognizing the current period depreciation expense of $2,100, Ten Mile Products also sold one piece of used equipment, recognizing a gain of $1,500 on proceeds of $3,700.

Circle the correct answer below. All amounts in thousands of US dollars.

1. The net book value of the used equipment sold was (hint: analyze the change in the accumulated depreciation account):

a) $1,500

b) $3,700

c) $2,200

d)$5,200

2. The accumulated depreciation on the used equipment sold was

a) $4,900

b) $2,800

c) $2,200

d)$7,100