When boot is involved in the exchange of nonmonetary productive assets, normally

A) the entire gain or loss on the exchange should be recognized
B) no gain or loss on the exchange may be recognized
C) no gain is recognized, but a loss may be recognized to the extent that boot is received
D) no gain is recognized, but a loss may be recognized to the extent that boot is given

Nonmonetary Productive Assets

Physical or tangible assets that do not have a fixed monetary value but contribute to the production capacity of a business.

Boot

Additional cash or property added to an exchange or trade to make the value of the traded goods equal, commonly used in real estate and barter transactions.

Gain

An increase in wealth or resources, often resulting from a favorable difference between the purchase price and the selling price of assets.