thil3746
thil3746
24.06.2019 • 
Business

P10-8 (l04) (nonmonetary exchanges) holyfield corporation wishes to exchange a machine used in its operations. holy-field has received the following offers from other companies in the industry. 1. dorsett company offered to exchange a similar machine + $23,000. (the exchange has commercial substance for both parties.) 2. winston company offered to exchange a similar machine. (the exchange lacks commercial substance for both parties.) 3. liston company offered to exchange a similar machine, but wanted $3,000 in addition to holyfield's machine. (the exchange has commercial substance for both parties.)in addition, holyfield contacted greeley corporation, a dealer in machines. to obtain a new machine, holyfield must pay $93,000 in addition to trading in its old machine.holyfi cost$160,000$120,000$152,000$160,000$130,000accumulated depreciation60,00045,00071,00075,000-0-fair value92,00069,00092,00095,000185,000instructionsfor each of the four independent situations, prepare the journal entries to record the exchange on the books of each company.

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