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Cedric Company recently traded in an older model computer for a new model. The old models book value was $207,000 (original cost of $457,000 less
Cedric Company recently traded in an older model computer for a new model. The old models book value was $207,000 (original cost of $457,000 less $250,000 in accumulated depreciation) and its fair value was $230,000. Cedric paid $63,000 to complete the exchange which has commercial substance.
Required: Prepare the journal entry to record the exchange.
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