Exercise 7-6 (Algorithmic) (LO. 2, 5) Logan and Johnathan exchange land, and the exchange qualifies as like kind under 1031. Because Logan's land (adjusted basis of $170,500) is worth $204,600 and Johnathan's land has a fair market value of $161,975, Johnathan also gives Logan cash of $42,625. a. Logan's recognized gain is s 34,100. b. Assume that Johnathan's land is worth $184,140 and he gives Logan $20,460 cash. Logan's recognized gain is s 170,500 X