Hi, can you help me with this assignment? I am not sure what to do with the calculation and how the journal entry looks like for this assignment. I will really appreciate your help. Thank you!

Information: On December 15th, Terry's management decided to trade in one of their machines for a newer model. After long discussions with their auditors, Terry's management has decided that the change in capacity between the old and new machines makes this an exchange without substance. The old machine originally cost $360,000 and had been fully depreciated to its $36,000 salvage value. The new machine typically sells for $864,000, but the vendor offered Terry a $36,000 trade-in discount on the old machine if the balance is paid in cash. Terry's management was excited about the deal, since they would have been able to sell the old machine for only $33,100 if they had tried to dispose of it on the open market. Although the deal was completed on December 294, no journal entries have yet been recorded. Terry's management would like to know the effect of the sale on the following ratios: Asset Turnover (Net Sales / average total assets) . Current Ratio ROA Assignment: Calculations 1. Calculate each of the three (3) ratios before you make any adjustments. 2. Make the appropriate journal entries, if any, to account for the trade-in (including any necessary changes to income tax expense). 3. Make any necessary changes to the financial statements. 4. Calculate the three (3) ratios after you make any adjustments. Information: On December 15th, Terry's management decided to trade in one of their machines for a newer model. After long discussions with their auditors, Terry's management has decided that the change in capacity between the old and new machines makes this an exchange without substance. The old machine originally cost $360,000 and had been fully depreciated to its $36,000 salvage value. The new machine typically sells for $864,000, but the vendor offered Terry a $36,000 trade-in discount on the old machine if the balance is paid in cash. Terry's management was excited about the deal, since they would have been able to sell the old machine for only $33,100 if they had tried to dispose of it on the open market. Although the deal was completed on December 294, no journal entries have yet been recorded. Terry's management would like to know the effect of the sale on the following ratios: Asset Turnover (Net Sales / average total assets) . Current Ratio ROA Assignment: Calculations 1. Calculate each of the three (3) ratios before you make any adjustments. 2. Make the appropriate journal entries, if any, to account for the trade-in (including any necessary changes to income tax expense). 3. Make any necessary changes to the financial statements. 4. Calculate the three (3) ratios after you make any adjustments