*E10-15 Presented below are two independent transactions. Both transactions have com- mercial substance. 1. Mercy Co. exchanged old trucks (cost $64,000 less $22,000 accumulated deprecia- ( tion) plus cash of $17,000 for new trucks. The old trucks had a fair value of $38,000. 2. Pence Inc. trades its used machine (cost $12,000 less $4,000 accumulated depreciation) for a new machine. In addition to exchanging the old machine (which had a fair value of $11,000), Pence also paid cash of $3,000. Instructions (a) Prepare the entry to record the exchange of assets by Mercy Co. (b) Prepare the entry to record the exchange of assets by Pence Inc