Maks, Inc., uses straight-line depreciation for all of its depreciable assets. Maks sold a used piece of machinery on December 31, 2020, that it purchased on January 1, 2019, for $10,000. The asset had a five-year life, zero residual value, and $2,000 accumulated depreciation as of December 31, 2019. If the sales price of the used machine was $7,500, the resulting gain or loss upon the sale was which of the following amounts?

a. Loss of $500

b. Gain of $500

c. Loss of $1,500

d. Gain of $1,500

e. No gain or loss upon the sale.