7. A machine cost $360,000, has annual depreciation of $60,000, and has accumulated depreciation of $270,000 on December 31, 2012. On April 1, 2013, when the machine has a fair value of $82,500, it is exchanged for a machine with a fair value of $405,000 and the proper amount of cash is paid. The exchange lacked commercial substance. The gain to be recorded on the exchange is A) $0. B) $45,000 gain. C) $7,500 loss. D) $15,000 gain