Gandalf Engineering had a large Ford delivery truck it traded in for a new Mack truck. The relevant information concerning the two trucks, on May 15, 2021, the date of exchange, follows:

Cost of old Ford truck		$ 42,700
Accumulated depreciation of old Ford truck		34,100
List price of the new Mack truck		44,600
Trade-in allowance given on the exchange		12,700
Fair value of the old Ford truck		9,700

Prepare the journal entry to record the purchase of the Mack truck using the Ford truck as a trade in. Gandalf paid the appropriate amount of cash for the remaining balance on the exchange. (Credit account titles are automatically indented when the 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.)

Date	Account Titles and Explanation	Debit	Credit
May 15

If Gandalf had not offered the Ford truck as a trade-in, what amount should have been recognized on the purchase of the Mack truck?

Purchase price