I would appreciate any help!
What would be the journal entry in this case for Company A?
Assume No Commercial Substance, exchange of old truck Company A for a new truck Company B (no cash payment has been made)
Thank you for your respond!
If I understand correctly, CV of an asset given up is greater than
the FMV and CV of an asset received. Since the
question does not mention anything about the FMV of the
asset given up, we will assume it is equal to FMV of
asset received (as per ASC Topic 845) and my entries should be correct.
FAR - 73, 78
AUD - 73,
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