Caleb Co. owns a machine that had cost $43,200 with accumulated depreciation of $18,800. Caleb exchanges the machine for a newer model that has a market value of $54,000. 1. Record the exchange assuming Caleb paid $30,400 cash and the exchange has commercial substance. 2. Record the exchange assuming Caleb paid $22,400 cash and the exchange has commercial substance.

Journal entry worksheet Record the exchange assuming Caleb paid $22,400 cash and the exchange has commercial substance. Note: Enter debits before credits. General Journal Debit Credit Transaction 2 Record entry Clear entry View general journal