A fixed asset with a cost of $30,000 and accumulated depreciation of $28,500 is sold for $3,500. What is the amount of the gain or loss on disposal of the fixed asset?

A) $2,000 loss
B) $1,500 loss
C) $3,500 gain
D) $2,000 gain

Accumulated Depreciation

The total amount of depreciation expense that has been recorded against a fixed asset over its useful life, reducing its book value.

Fixed Asset

Long-term tangible property or equipment that a firm owns and uses in its operations to generate income, typically not expected to be converted to cash within a year.