On July 1, Twin Pines Co., a water distiller, acquired new bottling equipment with a list price (fair market value) of $215,835. Twin Pines received a trade-in allowance (fair market value) of $38,835 on the old equipment of a similar type and paid cash of $177,000. The following information about the old equipment is obtained from the account in the equipment ledger: cost, $166,100; accumulated depreciation on December 31, the end of the preceding fiscal year, $115,300; annual depreciation, $11,530. Assuming the exchange has commercial substance, journalize the entries to record (a) the current depreciation of the old equipment to the date of trade-in and (b) the exchange transaction on July 1