Changes in the Balance Sheet Accounts at June 30, 2014

Changes in the balance sheet accounts at June 30, 2014 and 2015 for the Poker Company are presented below:
$\begin{array}{lr}\text { Assets } & \begin{array}{r}\text { Increase } \\\text { (Decrease }\end{array} \\\text { Cash } & \$ 80,000 \\\text { Accounts receivable } & 200,000 \\\text { Lnventory } & 300,000 \\\text { Long-term investments } & 200,000 \\\text { Equipment } & (200,000 \\\text { Accumulated depreciation } & (60,000) \\\\\text { Liabilities and Stockholders' Equity }\\\text {Accounts payable }&\$(40,000) \\\text {Dividends payable}&400,000\\\text {Notes payable-Current }&(200,000) \\\text {Notes payable-Long-term }&400,000\\\text {Common stock, \( \$ 1.00 \) par }&300,000\\\text {Additional paid-in capital }&100,000\\\text {Retained eamings }&80,000\\\end{array}$
Additional Information for 2015:
Net income was $480,000 and dividends of $400,000 were declared.
Common stock was issued for cash.
A Long-term investment was sold for $160,000.
A new Long-term investment was acquired for $360,000.
Equipment that cost $600,000 was sold for $200,000. The book value of those assets was $150,000.
-The gain on the sale of equipment for 2015 is

A) $50,000.
B) $70,000.
C) $100,000.
D) $150,000.