Presented below are two independent transactions. both transactions have commercial substance. 1. mercy co. exchanged old trucks (cost $63,500 less $19,000 accumulated depreciation) plus cash of $17,000 for new trucks. the old trucks had a fair value of $39,900. 2. pence inc. trades its used machine (cost $11,100 less $3,700 accumulated depreciation) for a new machine. in addition to exchanging the old machine (which had a fair value of $10,100), pence also paid cash of $2,600. prepare the entry to record the exchange of assets by mercy co.