Response to the following problem:
On September 3, 2013, the Robers Company exchanged equipment with Phifer Corporation. The facts of the exchange are as follows:
Robers Asset Phifers Asset
Original cost $ 120,000 $ 140,000
Accumulated depreciation 55,000 63,000
Fair value 75,000 70,000
Required: Record the exchange for both Robers and Phifer. The exchange has commercial substance for both companies.