Police Ltd and Box Ltd are small family-owned companies engaged in vegetable growing and distribution. The Jones family owns the shares in Box Ltd and the Tyler family owns the shares in Police Ltd. The head of the Jones family wishes to retire but his two sons are not interested in carrying on the family business. Accordingly, on 1 July 2024, Police Ltd is to take over the operations of Box Ltd, which will then liquidate. Police Ltd is asset-rich but has limited overdraft facilities so the following arrangement has been made. Police Ltd is to acquire all of the assets, except cash, delivery trucks and motor vehicles, of Box Ltd and will assume all of the liabilities except accounts payable. In return, Police Ltd is to give the shareholders of Box Ltd a block of vacant land, two delivery vehicles and sufficient additional cash to enable the company to pay off the accounts payable and the liquidation costs of $1 500. On the liquidation of Box Ltd, Mr Jones to receive the land and the motor vehicles and his two sons are to receive the delivery trucks. The land and vehicles had the following market values at 30 June