On January 1, a business trades in an old piece of equipment, plus some cash, for a new similar piece of equipment. The exchange transaction HAS commercial substance. The following information applies to this transaction: Acquisition cost of old equipment $50,000 Book value of old equipment $15,000 Additional cash payment at time of trade $25,000 Market value of new equipment see below A. Prepare the necessary journal entry to record this transaction on January 1 assuming the new equipment has a fair market value of $38,000. B. Prepare the necessary journal entry to record this transaction on January 1 assuming the new equipment has a fair market value of $42,000