Problem
Braves, inc. exchanged a like-kind property used in its business and $26,000 cash for an updated version of the like-kind property. its old asset cost $100,000 and had accumulated MACRS depreciation of $73,000. The old asset had a fair market value of $32,000 at the date of exchange and the new asset had a fair market value of $58,000. What is Braves, Inc's adjusted basis of the new asset?