Case B. Kapono Farms exchanged 100 acres of farmland for similar land. The farmiand given had a book value of $540.000 and a fair value of $780,000. Kapono paid $58.000 cash to complete the exchange. The exchange has commercial substance. Required: 1. What is the amount of gain of loss that Kapono would recognize on the exchange? What is the initial value of the new tand? 2. Assume the fair value of the farmland given is $432,000 instead of $780,000. What is the amount of gain or loss that Kapono would recognize on the exchange? What is the initial value of the new land? 3. Assume the same facts as Requirement 1 and that the exchange lacked commercial substance. What is the amount of gain or loss that Kapono would recognize on the exchange? What is the invial value of the new iand? 4. Assume the same facts as Pequirement 2 and that the exchange lacked commercial substance. Assume the fair value of the tarmiand given is $432.000 instead of $780.000. What is the amount of gain or loss that Kapono would recognize on the exchange? What is the initial value of the new land? Answer is not complete. Complete this question by entering your answers in the tabs below. What is the amouns of gain or loss that Kapono would recognize on the exchange? What is the initial value of the nea tand? Case B. Kapono Farms exchanged too actes of farmland for similar land. The farmland given had a book value of $540,000 and a fair value of $780,000. Kapono paid $58,000 cash to complete the exchange. The exchange has commercial substance. Required: 1. What is the amount of gain of loss that Kapono would recognize on the exchange? What is the initial value of the new land? 2. Assume the fair value of the farmiand given is $432,000 instead of $780,000. What is the amount of gain or loss that Kapono would recognize on the exchange? What is the initial value of the new land? 3. Assume the same facts as Requirement 1 and that the exchange lacked commercial substance. What is the amount of gain or loss that Kapono would recognize on the exchange? What is the initial value of the new land? 4. Assume the same facts as Requirement 2 and that the exchange lacked commercial substance. Assume the fair vaive of the farmland given is $432.000 instead of $780,000. What is the amount of gain or loss that Kapono would recognize on the exchange? What is the initial value of the new land? Answer is not complete. Complete this question by entering your answers in the tabs below. Assume the fair value of the farmiand given is $432,000 instead of $780,000. What is the amount of gain or loss that kapono would recognize on the exchange? What is the initial volue of the new land? Case B. Kapono Farms exchanged 100 acres of farmland for similar land. The farmiand given had a book value of $540.000 and a fair value of $780,000. Kopono paid $58.000 cash to complete the exchange. The exchange has commercial substance. Required: 1. What is the amount of gain of loss that Kapono would recognize on the exchange? What is the initial value of the new land? 2. Assume the fair vatue of the farmiand given is $432.000 instead of $780.000. What is the amount of gain or loss that Kapono would recognize on the exchange? What is the initial value of the new land? 3. Assume the same fects as Requirement 1 and that the exchange lacked commercial substance. What is the amount of gain of loss that Kapono would recognize on the exchange? What is the intial value of the new land? 4. Assume the same facis as Requirement 2 and that the exchange lacked commercial substance. Assume the fair value of the. farmlend given is $432.000 instead of $780,000. What is the amount of gain or loss that Kapono would recognize on the exchange? What is the initial value of the new land? Answer is not complete. Complete this question by entering your answers in the tabs below. Assume the same facts as Hequirement 1 and that the exchange lacked commercial substance. What is the amount of gain or loss that kapono would recogrize on the exchange? What is the initial value of the new land? Case B. Kapono Farms exchanged 100 acres of farmiand for similar land. The farmland given had a book value of $540.000 and a fair value of $780.000. Kapono paid $58,000 cash to complete the exchange. The exchange has commercial substance. Required: 1. What is the amount of gain or loss that Kapono would recognize on the exchange? What is the initial value of the new iand? 2. Assume the fair value of the farmland given is $432,000 instead of $780,000. What is the amount of gain or loss that Kapono would recognize on the exchange? What is the initial value of the new land? 3. Assume the same facts as Requirement 1 and that the exchange lacked commercial substance. What is the amount of gain or loss that Kapono would recognize on the exchange? What is the initial value of the new land? 4. Assume the same focts as Requirement 2 and that the exchange lacked commercial substance. Assume the fair value of the farmiand given is $432.000 instead of $780.000. What is the amount of gain or loss that Kapono would recognize on the exchange? What is the initial value of the new land? Answer is not complete. Complete this question by entering your answers in the tabs below. Assume the same facts as Requirement 2 and that the exchange lacked commerclai substance. Assume the fair value of the farmiand given is $432,000 instead of $780,000. What is the amount of gain or loss that Kapono would recognize on the exchange? What is the initial value of the new land