Colton Corporation has a machine (X) that cost $120,000, has a book value of $75,000 and fair market value of $68,000. Colton exchanged the machine plus $12,000 for another machine (Y) from Newton Co. The newly acquired machine is carried in Newton's books at its cost of $90,000 with accumulate depreciation of $20,000. Required: A. Prepare the journal entry to record the exchange in the books of Colton Corporation assuming that exchange has commercial substance. B. Prepare the journal entry to record the exchange in the books of Newton Co. assuming that exchange lacks commercial substance