On july 1, 2016, alpha company purchased for $76,000, equipment having a service life of eight years and an estimated residual value of $4,000. alpha has recorded depreciation of the equipment using the double-declining balance method. on december 31, 2018, before making any annual adjusting entries, the equipment was exchanged for new machinery having a fair value of $35,000. the transaction has commercial substance. use this information to prepare all general journal entries (without explanation) required to record the events for december 31, 2018. round numbers to whole dollars.