ACC 304 Course Great Wisdom / tutorialrank.com ACC 304 Course Great Wisdom / tutorialrank.com | Page 191

29) Glen Inc. and Armstrong Co. have an exchange with no
commercial substance. The asset given up by Glen Inc. has a book
value of $36,000 and a fair value of $45,000. The asset given up by
Armstrong Co. has a book value of $60,000 and a fair value of
$57,000. Boot of $12,000 is received by Armstrong Co.

What amount should Glen Inc. record for the asset received?

30) Glen Inc. and Armstrong Co. have an exchange with no
commercial substance. The asset given up by Glen Inc. has a book
value of $36,000 and a fair value of $45,000. The asset given up by
Armstrong Co. has a book value of $60,000 and a fair value of
$57,000. Boot of $12,000 is received by Armstrong Co.

What amount should Glen Inc. record for the asset received?