Problem 10-08 Teal Corporation wishes to exchange a machine used in its operations. Teal has received the following offers from other companies in the industry 1. Flint Company offered to exchange a similar machine plus $26,220. (The exchange has commercial substance for both parties.) 2. Buffalo Company offered to exchange a similar machine. (The exchange lacks commercial substance for both parties.) 3. Carla Company offered to exchange a similar machine, but wanted $3,420 in addition to Teal's machine. (The exchange has commercial substance for both parties.) In addition, Teal contacted Sarasota Corporation, a dealer in machines. To obtain a new machine, Teal must pay $106,020 in addition to trading in its old machine. Teal Flint Buffalo Carla Sarasota Machine cost $182,400 $135,500 $173,280 $182,400 $148,200 Accumulated depreciation 68,400 51,300 80,910 B5,500 -0 Fair value 104,380 78,660 104,850 108,300 210,900 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. Teal Corporation Flint Company 2. Teal Corporation Buffalo Company 3. Teal Corporation Carla Company 4. Teal Corporation Sarasota Company (To record exchange of inventory) (To record cost of inventory)