uinton Inc. is a publicly traded company that leases standard electronic office equipment to several customers. On June 30, Year 1, Quinton purchased equipment for $10,800 and leased it immediately to a new client for two years. Three payments are required: a payment of $3,000 on June 30, Year 1, and payments of $1,000 each on December 31, Year 1, and June 30, Year 2. The equipment is to be returned to Quinton when the lease expires on June 30, Year 3, and is expected to have a remaining useful life of four years at that time with no residual value. Quinton has determined the lease should be classified as an operating lease. What is the amount of net income or loss before tax that Quinton will record in the year ended December 31, Year 2, because of this lease? A. $700 B. ($2,900) C. ($800) D. $2,200