On August 1, Gold Company Exchanged a Machine for a Similar

question 10

Essay

On August 1, Gold Company exchanged a machine for a similar machine owned by Cowboy Company and also received $7,000 cash from Cowboy Company. Gold's machine had an original cost of $80,000, accumulated depreciation to date of $14,500, and a fair market value of $60,000. Cowboy's machine had an original cost of
$95,000 and a book value of $45,000 and a fair value of $53,000.
Required:

a. Prepare the necessary journal entry by Gold Company to record this transaction.
b. Prepare the necessary journal entry by Cowboy Company to record this transaction.

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Definitions:

Channel

The medium through which a message is transmitted from sender to receiver, such as email, text, or face-to-face communication.

Data Consumption

The process of using or processing data by downloading, viewing, or engaging with digital content.

Mobile Devices

Portable electronic devices that have the capability of accessing the internet, such as smartphones and tablets.

Text Messaging

The act of sending short, written messages via mobile phones or other devices using SMS (Short Message Service) or similar technologies.