A company buys a fixed asset on January 1, 2010 for $40,000. The accumulated depreciation for three years is $10,000. What will be the book value of the asset on December 31, 2012? The asset is sold on December 31, 2012 for $27,500. Will the company make a profit from this disposal?
The book value of the asset on December 31, 2012 is $
. The company will make a
.