Journal entry worksheet:

1. Record the exchange of assets.

Cedric Company recently traded in an older model computer for a new model. The old model's book value was $213,000 (original cost of $463,000 less $250,000 in accumulated depreciation) and its fair value of the old equipment is $200,000. Cedric paid $63,000 to complete the exchange which has commercial substance. Required: Prepare the journal entry to record the exchange. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)