Assume the same facts as in Exercise 10-25, except that the book value of the press traded in is $108,500. (a) What is the amount of cash given? (b) What is the gain or loss on the exchange?

Data From Exercise 10-25:

A printing press priced at a fair market value of $275,000 is acquired in a transaction that has commercial substance by trading in a similar press and paying cash for the difference  between the trade-in allowance and the price of the new press.