Selected Item Attempt Preview Preview In Window Large Preview Entries for Trade of Fixed Asset On July 1, Twin Pines Co., a water distiller, acquired new bottling equipment with a list price (fair market value) of $698,000. Twin Pines received a trade-in allowance (fair market value) of $139,900 on the old equipment of a similar type and paid cash of $558,100. The following information about the old equipment is obtained from the account in the equipment ledger: cost, $465,000; accumulated depreciation on December 31, the end of the preceding fiscal year, $303,600; annual depreciation, $27,600. Assuming that the exchange has commercial substance. a. Journalize the entry to record the current depreciation of the old equipment to the date of trade- in. b. Journalize the entry to record the exchange transaction on July 1. If an amount box does not require an entry, leave it blank..