Caleb Co. owns a machine that had cost $46,000 with accumulated depreciation of $20,200. Caleb exchanges the machine for a newer model that has a market value of $56,000. 1. Record the exchange assuming Caleb paid $31,800 cash and the exchange has commercial substance. 2. Record the exchange assuming Caleb paid $23,800 cash and the exchange has commercial substance. View transaction list Journal entry worksheet