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lack commercial substance?
A Co. exchanges equipment that cost 99,000 and has accumulated depreciation of 13,000, receiving in return similar equipment with a fair market value of 81,000 and 9,000 cash.
If the exchange lacks commercial substance, what amount of gain or loss should be recognized by A co? What amount should A co. record the new equipment? If the exchange has commercial substance, what amount of gain/loss should be recognized by A co?/What amount should them record the new equipment? |
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