7A. Arca Salvage, Inc., purchased equipment for $10,000. Arca recorded total depreciation of $8,000 on the equipment. Assume that Arca exchanged the old equipment for new equipment, paying $4.000 cash. The fair market value of the new equipment is $5,000. Journalize Arca's exchange of equipment. Assume this exchange has commercial substance. Let's begin by calculating the gain or loss on the exchange of equipment (Enter a loss with a minus son or parentheses) Market value of assets received Less: Book value of asset exchanged Cash paid Gain or (Loss) Journalize Arca's exchange of equipment. (Record a single compound journal entry Record debits first, then credits Select the explanation on the lastne of the journal entry table) Accounts and Explanation Debit Credit Date Choose from any list or enter any number in the input fields and then continue to the next question 7A. Arca Salvage, Inc. purchased equipment for $10,000. Arca recorded total depreciation of $8,000 on the equipment. Assume that Aica exchanged the old equipment for new equipment, paying $4.000 cash. The fair market value of the new equipment is $5,000. Joumalize Arca's exchange of equipment. Assume this exchange has commercial substance Journalize Arca's exchange of equipment. (Record a single compound journal entry. Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Date Accounts and Explanation Debit Credit