Excelsior Inc. began the year with capital assets of $200,000 and accumulated amortization of $100,000. During the year, capital assets were purchased for $50,000 and capital assets were sold for proceeds of $1,000. Amortization expense for the year was $22,000. At the end of the year, Excelsior had capital assets of $242,000 and accumulated amortization of $115,000. What was the gain/loss on the disposal of capital assets?

$1,000 gain$8,000 gain$2,000 loss$5,000 lossNone of the other alternatives are correct