Rihanna painted a maple leaf on her white Mercedes while she was involved with a certain Canadian artist. Given their recent split, she exchanged her car with Ryan Gosling, who was thrilled to pay tribute to his roots, for his very similar black Mercedes. The white Mercedes car was bought 1.5 years ago with an acquisition cost of $90,000. It had an assumed useful life of 8 years with straight-line depreciation and no residual value. In addition to the exchange of the old car, Rihanna paid cash $5,000 for Ryans black car. After the transaction, she had been informed by her manager that the new Mercedes was only worth $65,000 maximum. Due to this transaction, Rihanna would report a loss closest to:

	$25,000
	$18,750
	$13,125

Lauren took an UBER to go to the MMF after-exam party and paid $10. Suppose UBER recognized only $2 of commission revenue for this transaction, this is most likely because:

	It intentionally wants to understate performance
	It does not bear the risk and rewards of the transaction
	It has a low gross margin