Rizzo's Delivery Company and Overland's Express Delivery exchanged delivery trucks on January 1, 2019. Rizzo's truck cost $22,000. It has accumulated depreciation of $15,000 and a fair value of $3,000. Overland's truck cost of $10,000. It has accumulated depreciation of $8,000 and a fair value of $3,000. The transaction has commercial substance.

Instructions

Prepare the entry to record the exchange of assets by Mercy Co.
Journalize the exchange for Overland's Express Delivery.

Solution

Journalize the exchange for Rizzo's Delivery Company.

Journal Entry for the exchange for Overland's Express Delivery.

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Instructions

Solution

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