Barry sold depreciable property used in his business to Ken for $172,000 cash plus a bond redeemable in 5 years for $85,000, but currently trading on the NYSE for $78,000. The property cost Barry $320,000 plus $35,000 in capital improvements and had actual accumulated depreciation at the time of the sale of $205,000. The amount of accumulated depreciation he should have taken was $180,000. What is the recognized gain or loss?

Phoenix guitars is interested in pursuing backward integration to take greater ownership of the extraction of raw materials and production of components used in its signature line of guitars. although this approach would lower the overall cost of producing a guitar, the costs associated with producing electronic pickupsfor sound amplification are far greater than those associated with sourcing pickups from a reliable supplier. which of the following approaches is likely to produce superior results? a) invest in vertical integration despite the cost of producing pickups.b) abandon the idea of vertical integration entirely.c) pursue taper integration.d) introduce a budget line of guitars to diversify the firm's offerings.