Two independent companies, E.T. Barwick and Olivetti Underwood, are in the home building business. Each owns a tract of land held for development, but each would prefer to build on the other's land. Each company agreed to exchange its land. An appraiser was hired, and from her report and each company's records, the following information was obtained:

	Cost	Book Value	Fair Value
E.T. Barwicks land	117,800	117,800	161,900
Olivetti Underwoods land	97,100	97,100	134,300

The exchange was made, and based on the difference in appraised fair values, Olivetti Underwood paid $27,600 to E.T. Barwick. The exchange lacked commercial substance.

For financial reporting purposes, what amount should E.T. Barwick record as its cost for the asset received?

For financial reporting purposes, Olivetti Underwood should recognize a gain on this exchange of?