WILL RATE:

Exercise 10-19 Metlock Company exchanged equipment used in its manufacturing operations plus $3,480 in cash for similar equipment used in the operations of Bonita Company. The following information pertains to the exchange. Metlock Co. Equipment (cost) Accumulated depreciation Fair value of equipment Cash given up $32,480 22,040 14,500 3,480 Bonita Co. $32,480 11,600 17,980 Prepare the journal entries to record the exchange on the books of both companies. Assume that the exchange lacks commercial substance. (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 o for the amounts. Debit Credit Account Titles and Explanation Metlock Company: Bonita Company: SHOW LIST OF ACCOUNTS LINK TO TEXT Prepare the journal entries to record the exchange on the books of both companies. Assume that the exchange has commercial substance. (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 o for the amounts.) Debit Credit Account Titles and Explanation Metlock Company Bonita Company Click if you would like to Show Work for this question: Open Show Work SHOW LIST OF ACCOUNTS LINK TO TEXT