A company purchased equipment valued at $310,000. It traded in old equipment for a $121,000 trade-in allowance and the company paid $189,000 cash with the trade-in. The old equipment cost $300,000 and had accumulated depreciation of $180,000. This transaction has commercial substance. What is the recorded value of the new equipment?

$120,000.

$121,000.

$189,000.

$309,000.

$310,000.