In June 2021, Sue exchanges a sport-utility vehicle (adjusted basis of $16,000; fair market value of $19,500) for cash of $2,000 and a pickup truck (fair market value of $17,500). Both vehicles are held for business use. Sue believes that her basis for the truck is $17,500. Is Sue correct? Why or why not? As part of your response, compute Sue’s realized gain or loss (and any recognized gain or loss) on the exchange.