Problem 10-08 Shamrock Corporation wishes to exchange a machine used in its operations. Shamrock has received the following offers from other companies in the industry. 1. Bridgeport Company offered to exchange a similar machine plus $33,120. (The exchange has commercial substance for both parties.) 2. Indigo Company offered to exchange a similar machine. (The exchange lacks commercial substance for both parties.) 3. Sweet Company offered to exchange a similar machine, but wanted $4,320 in addition to Shamrock's machine. (The exchange has commercial substance for both parties.) In addition, Shamrock contacted Pharoah Corporation, a dealer in machines. To obtain a new machine, Shamrock must pay $133,920 in addition to trading in its old machine. Shamrock Bridgeport Indigo Sweet Pharoah Machine cost $230,400 $172,800 $218,880 $230,400 $187,200 Accumulated depreciation 86,400 64,800 102,240 108,000 Fair value 132,480 99,360 132,480 136,800 266,400 -0- For each of the four independent situations, prepare the journal entries to record the exchange on the books of each company. (Credit account titles are automatically Indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) No. Account Titles and Explanation Debit Credit 1. Shamrock Corporation Bridgeport Company 2. Shamrock Corporation Indigo Company Shamrock Corporation Sweet Company 4. Shamrock Corporation Pharoah Company (To record exchange of inventory) To record cost of inventory)