A machine that cost $294,000 has annual depreciation expense of $58,800 and accumulated depreciation of $147,000 at December 31, 2025. On April 1, 2026, when the machine has a fair value of $117,000, it is exchanged for a similar machine with a fair value of $294,000 and the proper amount of cash is paid. The exchange lacked commercial substance. Prepare all entries that are necessary at April 1, 2026. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries.)