Company (A) sells an Item (Bicycle) to a Customer (B) and gives him a 1000 pound off because the Customer (B) sells his Old Bicycle to the same company (A) in free-off cost
Your example makes no sense. As I understand "exchange" or "compensation" sales are goods-for-goods transactions used for avoiding payments. In general these are standard sales and purchase procedures the only difference is in closing customer and vendor ledger entries. This can be done manually and is solely a financials/bookkeeping department issue.
Comments
http://ssdynamics.co.in
--It's an example of Exchange-Sale.
Correct me if I misunderstood something.