On July 1, 2021, Hale Kennels sells equipment for $233000. The equipment originally cost $596000, had an estimated 5-year life and an expected salvage value of $90000. The accumulated depreciation account had a balance of $353000 on January 1, 2021, using the straight-line method. The gain or loss on disposal is $10000 gain. $10000 loss. $40600 loss. $40600 gain.

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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On July 1, 2021, Hale Kennels sells equipment for $233000. The equipment originally cost $596000, had an estimated 5-year life and an expected salvage value of $90000. The accumulated depreciation account had a balance of $353000 on January 1, 2021, using the straight-line method. The gain or loss on disposal is

$10000 gain.
$10000 loss.
$40600 loss.
$40600 gain.
 
A quick response will be appreciated 
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