Rod Had the Following Business Casualty in 2019 Calculate the Amount and Nature of Rod's Gain or Loss

Essay

Rod had the following business casualty in 2019: $$\begin{array} { | l | l | l | l | l| } \hline& \begin{array} { l } \text { Decrease in fair } \\\text { market value due } \\\text { to casualty }\end{array} & \begin{array} { l } \text { Adjusted } \\\text { basis }\end{array} & \begin{array} { l } \text { In surance } \\\text { reimbursement }\end{array} & \begin{array} { l } \text { Holding } \\\text { period }\end{array} \\\hline \begin{array} { l } \text { Business furniture } \\\text { vandalized. }\end{array} & \$ 2,500 & \$ 500 & \$ 1,700 & \text { 20 years } \\\hline\end{array}$$ Calculate the amount and nature of Rod's gain or loss as a result of this casualty.