Holden Company purchased the following securities during $20$X$1$:

Security Classification Cost Market Value $($Dec$.31,20$X$1)$

A Trading $$9,000$ $$10,000$

B Trading $10,00016,000$

On Jul. $23,20$X$2,$ Holden sold all of the shares of Security B for a total of $$9,500.$ As of Dec. $31,20$X$2,$ the shares of Security A had a market value of $$5,800.$ No other activity occurred during $20$X$2$ in relation to the trading security portfolio.

What amount should Holden Company report as REALIZED GAIN OR LOSS in the $20$X$2$ income statement?

Realized Gain of $$6,500$

Realized Gain of $$500$

Realized Loss of $$6,500$

Realized Loss of $$500$