Beeman Company exchanged machinery with an appraised value of $3,494,000, a recorded cost of $5,302,000 and accumulated depreciation of $2,651,000 with Lacey Corporation for machinery Lacey owns. The machinery has an appraised value of $3,319,000, a recorded cost of $6,340,000, and accumulated depreciation of $3,487,000. Lacey also gave Beeman $175,000 in the exchange. Assume depreciation has already been updated. Prepare the entries on both companies' books assuming that the exchange had commercial substance