Gabrielle Inc. and Lucci Company have an exchange with no commercial substance. The asset given up by Gabrielle has a book value of 120,000 and a fair value of 135,000. The asset given up by Lucci has a book value of 220,000 and a fair value of 200,000. Boot of 65,000 is received by Lucci.

What amount should Gabrielle record for the asset received?

Select one:

a. 185,000

b. 200,000

c. 110,000

d. 135,000