Question: Stellar SA exchanged equipment used in its manufacturing operations plus R$1920 in cash for similar equipment used in the operations of Peari Co. The

Stellar SA exchanged equipment used in its manufacturing operations plus R$1920 in

cash for similar equipment used in the operations of Peari Co. The

Stellar SA exchanged equipment used in its manufacturing operations plus R$1920 in cash for similar equipment used in the operations of Peari Co. The following information pertains to the exchange Stellar SA Pearl Ca Equipment (cost RS26.880 RS26.880 Accumulated depreciation 18.240 9.600 Fair value of equipment 12.960 14,880 Cash glven up 1.920 (a) 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. Include in your journal entry separate account entries for both the new and old equipment. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit Stellar SA: Pearl Company: eTextbook and Media

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