An asset's book value is $18,200 on December 31, Year 5. The asset has been depreciated at an annual rate of $3,200 on the straight-line method. Assuming the asset is sold on December 31, Year 5 for $15,200, the company should record:

A). A loss on sale of $1,800.

B). A loss on sale of $3,000.

C). A gain on sale of $1,800.

D). A gain on sale of $3,000.

E). Neither a gain nor a loss is recognized on this type of transaction.