Crane Limited exchanged equipment that it uses in its manufacturing operations for similar equipment that is used in the operations of Blue Limited. Crane also paid Blue $2,700 in cash. The following information pertains to the exchange.

		Crane			Blue
Equipment (cost)		$59,000			$64,000
Accumulated depreciation		30,750			21,000
Fair value of equipment		30,000			32,700

Prepare the journal entries to record the exchange on the books of both companies, assuming the exchange is determined not to have commercial substance