A Company Sells a Long-Lived Asset Which Originally Cost $150,000

Multiple Choice

A company sells a long-lived asset which originally cost $150,000 for $50,000 on December 31, 2014. The accumulated depreciation account had a balance of $60,000 after the current year's depreciation of $15,000 had been recorded. The company should recognize a

A) $100,000 loss on disposal.
B) $40,000 gain on disposal.
C) $40,000 loss on disposal.
D) $25,000 loss on disposal.