The following information is available for an asset owned by Ports Enterprise:

Date of Purchase: January 1, 2009

Purchase price: $62,000

Residual Value: $7,000

Useful life: 5 years

Depreciation Method: Straight-line

If the asset is sold on September 30, 2013, for $6,000, Ports should recognize (show work)

A. A loss on sale of $1,000

B. A gain on sale of $3,750

C. A loss on sale of $3,750

D. A gain on sale of $6,000