X Company and Y Company, operating on opposite sides of the country, manufacture equipment that is virtually identical except for a higher grade of metal used by X Company. As a result, the costs and fair values of one piece of equipment to X and Y are: Cost Fair Market Value X Company $ 75,000 $105,000 Y Company $65,000 $ 91,000 X Company received an order from a customer in Y's state and received an order from a customer in X's state. In a transaction that lacks commercial substance, to avoid the cost and effort of shipping the equipment across the country, X and Y exchanged equipment and, essentially, X shipped to Y's customer and vice versa. Due to the difference in metals, however, Y paid X $14,000 in cash. How much profit will X Company recognize as a result of the exchange? Multiple Choice $0 $14,000 $30,000 $4,000