When Craig began operations on June 1, 2026 he contributed his own truck to the business. It was recorded in QB Online at its FMV (fair-market value) of $13,495. This truck was expected to last for 4 years and have a salvage value of $3,000. Now that the business has been going strong for 7 months, Craig decided to trade-in this truck for a newer model. You have determined that this exchange has commercial substance because it will increase productivity, therefore creating more revenue for the business. He went to Brown's Truck \& Auto on December 31, 2026. Craig chose a new truck with a value of $24,795 (including taxes and fees). He also had a trailer hitch installed for $500 and had his logo painted on the sides and back for additional $1,000. He obtained a loan for this purchase in the amount of $11,000. Record the following transactions in the QB Online test drive company, Craig's Design and Landscaping: 1. Record the depreciation expense for 2026. Record the journal entry in QB Online. Round to the nearest dollar (5 points) 2. Record the journal entry for the exchange of assets on December 31, 2026. Assume the exchange had commercial substance. Create a new account for the new truck. (10 points)