Nepro Company traded machinery with a book value of 280,000 and a fair value of 300,000. It received in exchange from Mikey Company a machine with a fair value of 270,000 and cash of 30,000. Mikey machine has a book value of 285,000. What amount of gain should Nepro recognize on the exchange?

a.

20,000

b.

30,000

c.

10,000

d.

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