A machine cost $80,000 and has accumulated depreciation of $44,000 on December 31, 2014. At that time, the machine had a fair value of $32,000 and has been exchanged for a similar machine with a fair value of $96,000 and the proper amount of cash is paid. The exchange lacked commercial substance Requirement: Prepare the necessary journal entry to record the above exchange. A machine cost $80,000 and has accumulated depreciation of S44,000 on December 31, 2014 At that time, the machine had a fair value of $32,000 and has been exchanged for a similar machine with a fair value of $96,000 and the proper amount of cash is paid. The exchange lacked commercial substance. Requirement: Prepare the necessary joumal entry to record the above exchange