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Nathan Corporation traded a used truck (cost $20,000, accumulated depreciation $18,000) for a small computer. The fair value of the small computer is not known.
Nathan Corporation traded a used truck (cost $20,000, accumulated depreciation $18,000) for a small computer. The fair value of the small computer is not known. The fair value of the used truck is $2,000. Nathan also paid $500 in the transaction. Prepare the journal entry to record the exchange, assuming the exchange lacks commercial substance.
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