Calaveras Tire exchanged equipment for two pickup trucks. The book value and fair value of the...

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Calaveras Tire exchanged equipment for two pickup trucks. The book value and fair value of the equipment given up were $24,00

business accounting

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Answer 1

Answer #1

Value of pickup trucks

(Book value + cash paid)

= 24,000+5,000

29,000

Gain on exchange

(as the exchange lacks commercial substance)

0

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Answer 2

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