On July 1, 2021 the Who Co

On July 1, 2021 The Who Co. sells equipment for $ 22,000. The equipment originally cost $ 60,000, had an estimated 5-year life and an expected residual value of $ 10,000. The accumulated depreciation account had a balance of $ 35,000 on January 1, 2021, using the straight-line method. The gain or loss on disposal is

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