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b. Exchange of products by companies in the same line of business
with no difference in future cash flows.
c. Exchange of assets with a difference in future cash flows.
d. Exchange of an equivalent interest in similar productive assets
that causes the companies involved to remain in essentially the same
economic position.
S44. When boot is involved in an exchange having commercial
substance.
a. gains or losses are recognized in their entirely.
b. a gain or loss is computed by comparing the fair value of the asset
received with the fair value of the asset given up.
c. only gains should be recognized.
d. only losses should be recognized.
S45. The cost of a nonmonetary asset acquired in exchange for
another nonmonetary asset and the exchange has commercial
substance is usually recorded at
a. the fair value of the asset given up, and a gain or loss is
recognized.
b. the fair value of the asset given up, and a gain but not a loss may
be recognized.
c. the fair value of the asset received if it is equally reliable as the
fair value of the asset given up.