1. An entity acquired an item of machinery in exchange for a motor vehicle. The carrying amount of the machinery is $8000 and its fair value is $10 000. The journal entry to record the acquisition of the machinery will include:

   		a loss on acquisition of $2000.
   		a gain on sale of $2000.
   		proceeds on sale of motor vehicle of $2000.
   		proceeds on sale of machinery of $2000.