Prepare the journal entries necessary to record this exchange, assuming that the exchange (a) has commercial substance, and (b) lacks commercial substance. Cannondale's fiscal year ends on December 31, and depreciation has been recorded through December 31. 2024. (Credit occount titles are outomatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the occount titles and enter O for the amounts. List all debit entries before credit entries) Your answer is partially correct. Cannondale Company purchased an electric wax melter on April 30,2025 , by trading in its old gas model and paying the balance in cash. The following data relate to the purchase. (b) Exchangelacks commercial substance: Depreciation Expense 7007 Accumulated Depreciation - Equipment 700 (To record current depreciation.) Accumulated Depreciation - Equipment Equipment 14200 Cash Equipment Gain on Disposal of Equipment (a) Exchangehas commercialsubstance: Depreciation Expense 700 Accumulated Depreciation - Equipment 700 (To record current depreciation)