A Company's Old Machine That Cost $40,000 and Had Accumulated

Multiple Choice

A company's old machine that cost $40,000 and had accumulated depreciation of $22,000 was traded in on a new machine having an estimated 20-year life with an invoice price of $45,000.The company also paid $33,000 cash,along with its old machine to acquire the new machine.If this transaction has commercial substance,the new machine should be recorded at:

A) $40,000.
B) $33,000.
C) $45,000.
D) $18,000.
E) $51,000.