The Williamsport Crosscutters baseball team had a player contract with Clemens (a promising young catcher) that was recorded in its accounting records at $500,000. The Reading Phillies had a player contract with Ruiz (a veteran outfielder) that was recorded in its accounting records at $800,000. The Crosscutters traded Clemens to Reading for Ruiz by exchanging contracts. At the time of the trade, the estimated fair value of each contract was $1,000,000. Both teams were in the midst of pennant races and believed that the trade addressed weaknesses in their respective rosters.
Prepare the journal entries to record the player trade for both Williamsport and Reading.