Sears Corporation, which has a calendar year accounting period, purchased a new machine for $40,000 on April 1, 2002. At that time Sears expected to use the machine for nine years and then sell it for $4,000. The machine was sold for $22,000 on Sept. 30, 2007. Assuming straight-line depreciation, no depreciation in the year of acquisition, and a full year of depreciation in the year of retirement, what the gain to be recognized at the time of sale would be