Rio Grande Company Purchased Equipment on January 1, 2017 for $75,000

Rio Grande Company purchased equipment on January 1, 2017 for $75,000. The estimated useful life of the equipment is 5 years, the salvage value is $10,000, and the company uses the double-declining balance method to depreciate fixed assets. Which of the following journal entries would Rio Grande record if the equipment is scrapped after three years?
a.
$\begin{array}{lrr} \text { Equipment } &75,000\\ \text { Gain on Disposal of Plant Asset } &&16,200\\ \text {Accumulated Depreciation-Equipment } &&58,800\\\end{array}$

b.
$\begin{array}{lrr} \text { Accumulated Depreciation-Equipment } &58,800\\ \text {Loss on Disposal of Plant Asset } &16,200\\ \text { Equipment } &&75,000\\\end{array}$

c.
$\begin{array}{lrr} \text { Accumulated Depreciation-Equipment } &58,800\\ \text { Cash } &16,200\\ \text { Equipment} &&75,000\\\end{array}$

d.
$\begin{array}{lrr} \text { Depreciation Expense } &58,800\\ \text {Loss on Disposal of Plant Asset } &16,200\\ \text { Equipment } &&75,000\\\end{array}$