On August 1, 2020 Gillians Gems exchanged productive Assets with Taras Treasures with the following data related to the Assets:

Gillians Taras

Equipment cost $96,000 $110,000 ==> ($96000 Gillian's , $110000 Tara's)

Accumulated Depreciation $40,000 $47,000 ==> ($40000 Gillian's, $47000 Tara's)

Fair Value, Date Exchange $60,000 $75,000 ==> ($60,000 Gillian's , $75,000 Tara's)

Cash Paid by Gillian $15,000 ==> ( $15,000 Gillian's)

Cash Received by Tara $15,000 ( $15,000 Tara's)

Required:

1. Assuming the above listed transaction has Commercial Substance, record the exchange for both Gillians Gems and Taras Treasures in accordance with GAAP.
2. Record the same entry, assuming the transaction lacks Commercial Substance.