Cannondale Company purchased an electric wax melter on April 30, 2020, by trading in its old gas model and paying the balance in cash. The following data relate to the purchase. $15,800 List price of new melter Cash paid Cost of old melter (5-year life, $700 salvage value) 10,000 11,200 Accumulated Depreciation-old melter (straight-line) 6,300 Secondhand fair value of old melter 5,200 Prepare the journal entries necessary to record this exchange, assuming that the exchange (a) has commercial substance, and (b) lacks commercial substance. Cannondale's fiscal year ends on December 31, and depreciation has been recorded through December 31, 2019. (Credit acCcount 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.) No. Account Titles and Explanation Debit Credit (a) Exchange has commercial substance: Depreciation Expense Accumulated Depreciation (To record current depreciation.) Accumulated Depreciation- Equipment Gain on Disposal of Equipn Cash Equipment (To record exchange of the equipment.) (b) Exchange lacks commercial substance: Depreciation Expense Accumulated Depreciation (To record current depreciation.) Accumulated Depreciation Equipment Cash Equipment Gain on Disposal of Equipn (To record exchange of the equipment.)