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Alamos Co. exchanged equipment and $18,300 cash for similar equipment. The book value and the fair value of the old equipment were $80,100 and $90,100,

Alamos Co. exchanged equipment and $18,300 cash for similar equipment. The book value and the fair value of the old equipment were $80,100 and $90,100, respectively. Assuming that the exchange has commercial substance, Alamos would record a gain/(loss) of:

Multiple Choice

  • $(10,000).

  • $10,000.

  • $0.

  • $28,300.

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