Redoubt LLC traded machinery used in its business to a machinery dealer for some new machinery. Redoubt originally purchased the machinery for $80,120 and it had an adjusted basis of $52,880 at the time of the exchange. The new machinery had a fair market value of $62,120. Redoubt also received $7,060 of computer equipment in the transaction. What is Redoubt's gain or loss recognized on the exchange?