Black n White Corp.purchased equipment for $45,000.The corporation recorded total depreciation of $36,000 on the equipment.On January 1,2015,Black n White traded in the equipment for new equipment,paying $56,000 cash.The fair market value of the new equipment is $65,000.Journalize the corporation's exchange of equipment.Assume the exchange had commercial substance.

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The Answer of Black n White Corp.purchased equipment for $45,000.The corporation recorded total depreciation of $36,000 on the equipment.On January 1,2015,Black n White traded in the equipment for new equipment,paying $56,000 cash.The fair market value of the new equipment is $65,000.Journalize the corporation's exchange of equipment.Assume the exchange had commercial substance.

Black N White Corp