On January $1,2023,$ Timberline Co$.$ sold equipment to an unaffiliated company for $$2,000,000.$ The equipment had a book value of $$1,480,000$ and a remaining useful life of $10$ years. That same day, Timberline leased back the equipment at $$15,000$ per month for $5$ years with no option to renew the lease or repurchase the equipment. Timberline$$s incremental borrowing rate is $5\%.$ What does Timberline recognize on their income statement for the year ended December $31,2023,$ should be

Group of answer choices

lease expense of $$180,000$ only

lease revenue of $$180,000$ only

gain on sale of equipment of $$520,000$ and lease expense of $$180,000$

gain on sale of equipment of $$520,000$ only