Sheffield Company purchased an electric wax melter on April 30, 2020, by trading in its old gas model and paying the balance in cash. The following data relate to the purchase.

List price of new melter		$20,224
Cash paid		12,800
Cost of old melter (5-year life, $896 salvage value)		14,336
Accumulated Depreciation-old melter (straight-line)		8,064
Secondhand fair value of old melter		6,656

Prepare the journal entries necessary to record this exchange, assuming that the exchange (a) has commercial substance, and (b) lacks commercial substance. Sheffields fiscal year ends on December 31, and depreciation has been recorded through December 31, 2019. (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 0 for the amounts.)