### a. Exchange Has Commercial Substance

When an exchange has commercial substance, gains or losses are recognized immediately.However, defer this gain:**
- Gain on exchange: $1,300

**Adjust the cost of the new computer to defer the gain:**
- Cost of the computer without recognizing the gain: $3,300 - $1,300 = $2,000 (Deferred gain reduces the asset's recognized value)

**Journal Entry:**
- Debit Computer: $2,000
- Debit Accumulated Depreciation - Truck: $18,000
- Credit Truck: $20,000
- Credit Cash: $500

In both scenarios, the entries reflect the appropriate handling of gains based on whether the transaction impacts future cash flows (commercial substance) or not.