Creek Construction owned a bulldozer which was destroyed by fire. The bulldozer originally cost $38,000. The accumulated depreciation recorded to the date of loss was $20,000. The proceeds from the insurance company were $20,000. Creek Construction should recognize

Multiple Choice

• A gain of $20,000

• A loss of $38,000

• A gain of $2,000

• A loss of $2,000

• An expense of $2,000