Company X exchanged used equipment for a new one. The exchange has commercial substance. The used equipment had a carrying value of $15,000 and a fair value of $16,000. The new equipment has a listing price of $32,000. There was also a trade-in allowance of $5,000. At what cost will Company X record the new equipment at in their books?

Group of answer choices

$43,000

$32,000

$17,000

$42,000