Textile manufacturer Cullumber Corp. exchanges robotic equipment with an original cost of $20,900 and a carrying amount of $11,750 with the equipment rental company Riverbed Corp. The equipment that is received in exchange from Riverbed Corp. has an original cost of $40,000 and a carrying amount of $16,000, performs different functions, and has a fair value of $21,500. The individual shareholder owned only 40% of the shares of each company. Because they are closely held companies, they both follow ASPE. Assume that there is independent evidence to support the value of the computer software.

Prepare the journal entries for both companies to record the exchange.