A machine cost $1208000, has annual depreciation of $193000, and has accumulated depreciation of $956000 on December 31, 2017. On April 1, 2018, when the machine has a fair value of $271000, it is exchanged for a machine with a fair value of $1353000 and the proper amount of cash is paid. The exchange had commercial substance. The gain to be recorded on the exchange is $59000 $145000 557250 $0