1. Collins Corporation, of Camden, Maine, wants to exchange its manufacturing equipment for Rockland Company's equipment. Both parties agree that Collins's machinery is worth $200,000 and that Rockland's machinery is worth $175,000. Collins will not enter into the transaction unless it qualifies as a like-kind exchange. If Collins wants to avoid gain, what could the parties do to equalize the value exchanged but still allow the exchange to qualify as a like-kind exchange?

2. Your friend Charlotte has some stock holdings that she is thinking of selling because she needs cash to pay for tuition in May, but she is concerned about having to pay taxes on the sale. Her IBM stock was bought on 1/1/2015, and her Dell stock was bought 4/1/2015. She is a single student, and makes $8,550 a year working at the college's coffee cart. What would your advice be on the tax consequences and what she should do (in regards to taxes) regarding these sales?