Wash N' Dry Company purchased equipment for $45,000. Total depreciation of $36,000 was recorded. On January 1, 2017, Wash N' Dry exchanges the equipment for new equipment, paying $54,000 cash. The market value of the new equipment is $65,000. Prepare the journal entry to record this transaction. Assume the exchange has commercial substance. Omit explanation.

What will be an ideal response?


Business

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