Green Corp. had a machine with a cost of $900,000, and accumulated depreciation of $570,000 on April 1, 2022, when it was exchanged for a machine with a fair value of $857,000.
The old machine had a fair value of $505,000 on the date of the exchange, and the difference was paid in cash. The exchange did not have commercial substance.
What amount of gain or loss should be recorded on the exchange? Enter a gain as a positive number or a loss as a negative number. For no gain or loss, enter 0.