HF Had Asset a That Was Reflected in the Company

HF had asset A that was reflected in the company records as follows: Cost, $25,000; accumulated amortization, $20,000. Its market value: $6,000. HF acquired asset B that had a cash price of $13,500 and paid for it by trading in asset A plus paying cash boot of $8,000. Give the entry by HF to record the acquisition of asset B, assuming the two assets was:
(A) Similar:
(B) Dissimilar:

Correct Answer:

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(A)
Since the cash considerati...

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