Problem:
Joan bought a business machine for $15,000 on January 1, 2010, and later sold the machine for $12,800 when the total allowable depreciation is $8,500. The depreciation actually taken on the tax returns totaled $8,000. Joan must recognize a gain (or loss) of?
No gain or loss
$4,300
$5,800
$6,300
Note: Please provide full description.