Question: The Goodman Company acquired a truck from the Harmes Company in exchange for a machine. The machine cost $30,000, has a book value of $6,000,

The Goodman Company acquired a truck from the Harmes Company in exchange for a machine. The machine cost $30,000, has a book value of $6,000, and has a market value of $9,000. The truck has a cost of $12,000 and a book value of $8,000 on Harmes’ books.

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Prepare journal entries for the Goodman Company and the Harmes Company to record the exchange.

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