Dodd Village received a gift of a new fire engine from a local civic group. The fair value of this fire engine was $400,000. Which of the following is the correct entry to be made in the general fixed assets account group for this gift? Debit Credita. Memorandum entry onlyb. General Fund Assets . . . . . . . . . . . . . . . . . . . . . . . . .. 400,000Private Gifts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 400,000c. Investment in General Fixed Assets . . . . . . . . . . . .400,000Gift Revenue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 400,000d. Machinery and Equipment . . . . . . . . . . . . . . . . . . . 400,000Investment in General Fixed Assets from Private Gifts 400,000
Dodd Village received a gift of a new fire engine from a local civic group. The fair value of this fire engine was $400,000. Which of the following is the correct entry to be made in the general fixed assets account group for this gift?
Debit Credit
a. Memorandum entry only
b. General Fund Assets . . . . . . . . . . . . . . . . . . . . . . . . .. 400,000
Private Gifts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 400,000
c. Investment in General Fixed Assets . . . . . . . . . . . .400,000
Gift Revenue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 400,000
d. Machinery and Equipment . . . . . . . . . . . . . . . . . . . 400,000
Investment in General Fixed Assets from Private Gifts 400,000
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