C. Shelton contributed land, inventory and $58,000 cash to a partnership. The land had a book value of $20,000 and a market value of $48,000.
C. Shelton contributed land, inventory and $58,000 cash to a partnership. The land had a book value of $20,000 and a market value of $48,000.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
C. Shelton contributed land, inventory and $58,000 cash to a partnership. The land had a book value of $20,000 and a market value of $48,000. The inventory had a book value of $50,000 and a market value of $45,000. In the journal entry to record Shelton's contribution to the partnership, what account should be credited and for what amount?
JOURNAL
|
Date |
Description |
P.Ref |
DEBIT |
CREDIT |
|
Cash |
|
|||
|
Inventory |
||||
|
|
Land |
|
||
|
|
(?) |
(?) |
Group of answer choices
Cash credited for $128,000
C. Shelton, Capital credited for $151,000
C. Shelton, Capital credited for $128,000
none of the above answers are correct
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