A Company Purchased Equipment Valued at $66,000

Multiple Choice

A company purchased equipment valued at $66,000. It traded in old equipment for a $9,000 trade-in allowance and the company paid $57,000 cash with the trade-in. The old equipment cost $44,000 and had accumulated depreciation of $36,000. This transaction has commercial substance. What is the recorded value of the new equipment?

A) $66,000.
B) $9,000.
C) $65,000.
D) $57,000.
E) $8,000.