Presented below are two independent transactions. Both transactions have commercial substance. 1 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. 2. Sheffield Inc. trades 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.