Marked out of 3.00 A and B agreed to form a partnership. A contributes Cash, 600,000, Inventory 20,000. Half of the inventory is unpaid, the partnership agreed to assume the related accounts payable, Equipment 50,000. B contributes a land amounting to 400,000 which has a fair value of 700,000. The land is subject to a mortgage 100,000. B agreed to settle the mortgage personally. How much are the adjusted capital contributions of A and B, respectively
Marked out of 3.00 A and B agreed to form a partnership. A contributes Cash, 600,000, Inventory 20,000. Half of the inventory is unpaid, the partnership agreed to assume the related accounts payable, Equipment 50,000. B contributes a land amounting to 400,000 which has a fair value of 700,000. The land is subject to a mortgage 100,000. B agreed to settle the mortgage personally. How much are the adjusted capital contributions of A and B, respectively
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:11:29
BSAIŠ 1A 3
ip Form.
Patricia: Fair value
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Question 3
A and B agreed to form a partnership. A
contributes Cash, 600,000, Inventory 20,000. Half
of the inventory is unpaid, the partnership agreed
to assume the related accounts payable,
Equipment 50,000. B contributes a land
amounting to 400,000 which has a fair value of
700,000. The land is subject to a mortgage
100,000. B agreed to settle the mortgage
personally. How much are the adjusted capital
contributions of A and B, respectively
А.
660,000; 700,000
В.
670,000; 700,000
С.
670,000; 690,000
D.
670,000; 600,000
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Transcribed Image Text:11:28
BSAIS TA Š
Part 1: Parnership Form.
Time left 00:10:32
Not yet answered
Marked out of 1.00
Question 1
The asset contribution of the partners to the
partnership, and any related liabilities assumed
by the partnership, are recorded in the
partnership
a.
Historical cost
b.
Any of these
с.
Carrying amount
d.
Fair Value
CLEAR MY CHOICE
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