A Company Decides to Exchange Its Old Machine and $231000

Multiple Choice

A company decides to exchange its old machine and $231000 cash for a new machine. The old machine has a book value of $189000 and a fair value of $210000 on the date of the exchange. The cost of the new machine would be recorded at

A) $420000.
B) $441000.
C) $399000.
D) cannot be determined.