Two independent companies, Denver and Bristol, each own a warehouse, and Denver agrees to pay Bristol $$3,000$ to complete the exchange. The following information for the two warehouses is available:

Denver

Bristol

Cost $$100,000$ $$58,000$

Accumulated depreciation $50,00020,000$

Fair value $45,00048,000$

Required:

Assuming the exchange has commercial substance, prepare journal entries for Denver and Bristol to record the exchange.