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Concord Corporation traded machinery with a book value of $746650 and a fair value of $685000. It received in exchange from Ivanhoe Company a machine
Concord Corporation traded machinery with a book value of $746650 and a fair value of $685000. It received in exchange from Ivanhoe Company a machine with a fair value of $835000. Concord also paid cash of $83500 in the exchange. Ivanhoes machine has a book value of $746650. What amount of gain or loss should Concord recognize on the exchange (assuming lack of commercial substance)?
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