Presented below are two independent transactions. Both transactions have commercial substance. 1 2. Riverbed Co. exchanged old trucks (cost $61,500 less $19.500 accumulated depreciation) plus cash of $16,500 for new trucks. The old trucks had a fair value of $37,500. Sheffield Inc. Grades its used machine (cost $11,070 less $3,690 accumulated depreciation) for a new machine. In addition to exchanging the old machine (which had a fair value of $10,480), Sheffield also paid cash of $3,400.