Question 27 Concord Co. had a sheet metal cutter that cost $111,000 on January 5, 2016. This old cutter had an estimated life of ten years and a salvage value of $15,000. On April 3, 2021, the old cutter is exchanged for a new cutter with a fair value of $60,000. The exchange lacked commercial substance. Concord also received $15,000 cash. Assume that the last fiscal period ended on December 31, 2020, and that straight-line depreciation is used.

(a)

Calculate the gain or loss to be recognized by Concord Co.

GainLoss recognized

$

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(b)