Pharoah Corporation wishes to exchange a machine used in its operations. Pharoah has received the following offers from other companies in the industry.

1. Novak Company offered to exchange a similar machine plus $28,980. (The exchange has commercial substance for both parties.)

2. Splish Company offered to exchange a similar machine. (The exchange lacks commercial substance for both parties.)

3. Blossom Company offered to exchange a similar machine, but wanted $3,780 in addition to Pharoah's machine. (The exchange has commercial substance for both parties.)

In addition, Pharoah contacted Blue Corporation, a dealer in machines. To obtain a new machine, Pharoah must pay $117,180 in addition to trading in its old machine.

Pharoah

Novak

Splish

Blossom

Blue

Machine cost $201,600 $151,200 $191,520 $201,600 $163,800

Accumulated depreciation 75,600 56,700 89,460 94,500 -0-

Fair value 115,920 86,940 115,920 119,700 233,100

For each of the four independent situations, prepare the journal entries to record the exchange on the books of each company.