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VIEW HOIICIES Current Attempt in Progress Equipment that cost $395,700 and has accumulated depreciation of $3 15,900 is exchanged for equipment with a fair value of $160,000 and $40,000 cash is received. The exchange lacked commercial substance. (a) Your answer has been saved. See score details after the due date. Calculate the gain to be recognized from the exchange. Gain recognized $ 24,220 List of Accounts Attempts: 1 of 1 used (b) Prepare the entry for the exchange. Show a check of the amount recorded for the new equipment. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Account Titles and Explanation Debit Credit List of Accounts Save for Later Attempts: 0 of 1 used Submit