Practice Exercise 10-04 Tamarisk Inc. purchased a commercial grade soft-serve ice cream machine on September 30, 2017. Tamarisk traded in its existing machine and paid cash in the transaction. The details of the transaction are as follows: List price of new freezer $23,655 Cash paid 15,732 Cost of old machine (4-year life, $1,710 salvage value) 19,950 Accumulated depreciation-old machine (straight-line) 9,120 . Secondhand fair value of old machine 7,638 Prepare the journal entries necessary to record this exchange, assuming that the exchange (a) has commercial substance, and (b) lacks commercial substance. Tamarisk's fiscal year ends on December 31, and Tamarisk recorded depreciation on the old machine through September 30, 2017. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Debit Credit No. Account Titles and Explanation (a) Exchange has commercial substance: (To record current depreciation) (To record exchange of the machine) (b) Exchange lacks commercial substance: (To record current depreciation) (To record exchange of the machine) Click you would like to Show Work for this question: Open Show Work