Marin Inc. purchased a commercial grade soft-serve ice cream machine on September 30, 2017. Marin traded in its existing machine and paid cash in the transaction. The details of the transaction are as follows: List price of new freezer $16,185 Cash paid 10,764 Cost of old machine (4-year life, $1,170 salvage value) 13,650 Accumulated depreciation-old machine (straight-line) 6,240 Secondhand fair value of old machine 5,226 Prepare the journal entries necessary to record this exchange, assuming that the exchange (a has commercial substance, and (b) lacks commercial substance. Marin's fiscal year ends on December 31, and Marin recorded depreciation on the old machine through December 31, 2016. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Credit No. Account Titles and Explanation Debit (a) Exchange has commercial substance: (To record current depreciation) (To record exchange of the machine)