The company exchanged an asset for a similar asset. The exchange was with another company in the same line of business. The old asset had a cost of $1,000 and accumulated depreciation of $850. The old asset had a market value of $400 on the date of the exchange.

Make the journal entry necessary to record the exchange assuming that the company received the new machine and no cash. [Hint: The total market value of assets received (cash plus new asset) is the same as the market value of the asset given up ($400).] If an amount box does not require an entry, leave it blank.

Make the journal entry necessary to record the exchange assuming that the company received the new machine and a "large" amount of cash of $300. [Hint: The total market value of assets received (cash plus new asset) is the same as the market value of the asset given up ($400).] If an amount box does not require an entry, leave it blank.

Make the journal entry necessary to record the exchange assuming that the company received the new machine and a "small" amount of cash of $80. [Hint: The total market value of assets received (cash plus new asset) is the same as the market value of the asset given up ($400).] If an amount box does not require an entry, leave it blank.