Swann Company sold a delivery truck on April 1, 2019. Swann had acquired the truck on January 1, 2015, for $42,000. At acquisition, Swann had estimated that the truck would have an estimated life of 5 years and a residual value of $5,000. At December 31, 2018, the truck had a book value of $12,400.

Required:
1. Prepare any necessary journal entries to record the sale of the truck, assuming it sold for:
a. $12,000
b. $9,000
2. How should the gain or loss on disposal be reported on the income statement?
3. Assume that Swann uses IFRS and sold the truck for $12,000. In addition, Swann had previously recorded a revaluation surplus related to this machine of $4,000. What journal entries are required to record the sale?