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A fixed asset with a cost of $29,079 and accumulated depreciation of $26,171 is traded for a similar asset priced at $67,300 (fair market value)

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A fixed asset with a cost of $29,079 and accumulated depreciation of $26,171 is traded for a similar asset priced at $67,300 (fair market value) in a transaction with commercial substance. Assuming a trade-in allowance of $5,497, at what cost will the new equipment be recorded in the books? a. $67,300 b. $5,497 c. $2,589 d. $23,582

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