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Please show work. Use the following to answer questions 21-22: Equipment that cost $220,000 and has accumulated depreciation of $100,000 is exchanged for equipment with

Please show work. Use the following to answer questions 21-22:

Equipment that cost $220,000 and has accumulated depreciation of $100,000 is exchanged for equipment with a fair value of $160,000 and $15,000 cash is received.

21.

The exchange lacks commercial substance.The new equipment is recorded as:

22.

The exchange has commercial substance.The new equipment is recorded as:

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