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Kirby Corporation exchanged a machine and $9,000 in cash for a new machine. The old machine had a cost of $11,200 and accumulated depreciation of
Kirby Corporation exchanged a machine and $9,000 in cash for a new machine. The old machine had a cost of $11,200 and accumulated depreciation of $7,000. The fair value of the old machine was $5,200. The fair value of the new machine was $14,800. Assume the exchange has commercial substance. Prepare the entry to record the exchange.
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