Albatross Services Scrapped a Van

Albatross Services scrapped a van. The van originally cost $40 000, had an estimated residual value of zero, and an estimated life of 10 years. At the time it was scrapped, it had accumulated depreciation of $40 000. What was the effect of scrapping the van?

A) Loss of $2 000
B) Gain of $2 000
C) No gain or loss
D) Loss of $1 000